The Masked Tulip Posted June 30, 2011 Share Posted June 30, 2011 Breaking News on the BBC. Good day to bury bad news whilst the Beeb focuses on Teachers. Quote Link to comment Share on other sites More sharing options...
Pent Up Posted June 30, 2011 Share Posted June 30, 2011 They should just cut the 15000 tomorrow and be done with it! It said many would be at there offices in London. Should help the London Market along nicely. Quote Link to comment Share on other sites More sharing options...
LuckyOne Posted June 30, 2011 Share Posted June 30, 2011 Breaking News on the BBC. Good day to bury bad news whilst the Beeb focuses on Teachers. Why is this bad news? I thought that most of us agree that the banking sector in the UK is too large and has contributed significantly to the bubble. A decrease in staffing levels seems to be a necessary condition for the banking sector to become less significant. Quote Link to comment Share on other sites More sharing options...
The Masked Tulip Posted June 30, 2011 Author Share Posted June 30, 2011 Why is this bad news? I thought that most of us agree that the banking sector in the UK is too large and has contributed significantly to the bubble. A decrease in staffing levels seems to be a necessary condition for the banking sector to become less significant. Who is going to worry about 15,000 private sector jobs going when the media is full of whinging public sector workers? Quote Link to comment Share on other sites More sharing options...
aa3 Posted June 30, 2011 Share Posted June 30, 2011 They should just cut the 15000 tomorrow and be done with it! It said many would be at there offices in London. Should help the London Market along nicely. Good point.. You know it is a terrible management plan to cut employees gradually over time. Because then staff is worried about losing their job(and likely thinking about other opportunities). And even though it is a favorite of neo-Anglo-saxon corporations to make their employees afraid, just look at the success of this model over the last decade. What sane leaders do is one horrific downsizing and say anyone left is safe. And you go overboard on the downsizing, so if later you actually need some back you re-hire them. Quote Link to comment Share on other sites More sharing options...
LuckyOne Posted June 30, 2011 Share Posted June 30, 2011 Who is going to worry about 15,000 private sector jobs going when the media is full of whinging public sector workers? The implicit guarantee of banks through the lender of last resort function of central banks means that they aren't really in the private sector. In my view, the term private sector includes the requirement that the losses from bad decisions are not borne by the general public. Quote Link to comment Share on other sites More sharing options...
@contradevian Posted June 30, 2011 Share Posted June 30, 2011 Why is this bad news? I thought that most of us agree that the banking sector in the UK is too large and has contributed significantly to the bubble. A decrease in staffing levels seems to be a necessary condition for the banking sector to become less significant. The people going are probably not the ones that caused the bubble. The ones that did with a few famous exceptions are still very much employed and still enjoying a bonus. Quote Link to comment Share on other sites More sharing options...
noodle doodle Posted June 30, 2011 Share Posted June 30, 2011 Who is going to worry about 15,000 private sector jobs going when the media is full of whinging public sector workers? Except they ceased to be private sector jobs when the government bought half the bank because the private sector wealth creators ******ed up so spectacularly. They're now part of the pribic sector. This is what HPC types want isn't it, cutting the fat from the bloated public sector and its many tentacles? Quote Link to comment Share on other sites More sharing options...
robo1968 Posted June 30, 2011 Share Posted June 30, 2011 Good point.. You know it is a terrible management plan to cut employees gradually over time. Because then staff is worried about losing their job(and likely thinking about other opportunities). And even though it is a favorite of neo-Anglo-saxon corporations to make their employees afraid, just look at the success of this model over the last decade. What sane leaders do is one horrific downsizing and say anyone left is safe. And you go overboard on the downsizing, so if later you actually need some back you re-hire them. This is something a friend of mine is going through in the Public sector. They (the management) have told the staff there will be redundancies in a few months, all the staff get stressed and work harder, some leave and no redundancy needs to be paid and they end up saving money. cheapest way of laying people off unfortunately Quote Link to comment Share on other sites More sharing options...
robo1968 Posted June 30, 2011 Share Posted June 30, 2011 Won't they be avoiding it by going on the sick...an outbreak of stress and bad backs? actually I think she was off sick when she got the letter Quote Link to comment Share on other sites More sharing options...
LuckyOne Posted June 30, 2011 Share Posted June 30, 2011 Except they ceased to be private sector jobs when the government bought half the bank because the private sector wealth creators ******ed up so spectacularly. They're now part of the pribic sector. This is what HPC types want isn't it, cutting the fat from the bloated public sector and its many tentacles? Banking has been part of the taxpayers' exposure since the lender of last resort function was established. It became even more so when the public took on all of the "tail risk" from mispriced deposit insurance. Eliminating "tail risk" to the taxpayer is something that I would like to see done as quickly as possible. A necessary condition is to shrink the size of the banks. There will be some people who will suffer during this process who don't deserve to but the problem is so large that there is no easy, painless way out. The size of the "tail risk" increased massively under GB's watch in the UK as it did under Bush's watch in the US. Canada seemed to manage the process much better. Mismanagement doesn't seem to respect ideological boundaries. Quote Link to comment Share on other sites More sharing options...
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