4 ms·
That consulting is pro-cyclical surprises me - I always figured that large corporations had some people who weren't terribly efficient and that in a downturn th
by garply 17y ago
That consulting is pro-cyclical surprises me - I always figured that large corporations had some people who weren't terribly efficient and that in a downturn they would be cut and their workloads would be outsourced to a 3rd party, whom the employer wouldn't need to offer perks and raises and who would have to pay full FICA him/herself.
- nostrademons 17y agoIt's a huge pain to fire an employee - there're dozens of potential "wrongful termination" lawsuit hitches, and if you run into any of them, you've just cost the company more in legal bills than you'll ever save in that employee's salary. For that reason, companies usually will keep full-timers even if they aren't quite as efficient as consultants or new hires, because the costs of getting it wrong and inviting a lawsuit don't outweigh the marginal benefits. Unless the employee is grossly incompetent, in which case you both save more in lost productivity, and there's a lower chance of a successful lawsuit...