3 ms·
> Why would they keep employees through a downturn? They're profit-driven entities. Because keeping people paid for a year during a downturn is cheaper than fi
by iLoveOncall 4y ago
> Why would they keep employees through a downturn? They're profit-driven entities.
Because keeping people paid for a year during a downturn is cheaper than firing them and then rehiring and retraining someone else a year later?
- s1artibartfast 4y agoUnder what reasoning is it cheaper to keep them?
- iLoveOncall 4y agoUnder the reasoning that hiring is expensive and training is extremely expensive? 1. The salary of a current employee will always be lower than the salary of a new hire, even a year later, 2. The hiring process itself costs tens of thousands of dollars, 3. A new joiner is useless for 2 months, needs to be babysat for 4 more and will ask constant questions for 6 more (if not 18). This costs the company a lot in terms of support that has to be provided from more senior (in tenure) employees.