Forced Furlough FUs
I was travelling home today and met a friend, a PhD level engineer, at the airport who told me that workers at his company, a very large public company are being forced to take two weeks off without pay over the next couple quarters. This is effectively an 8% paycut. I am hearing this with greater frequency as of late. We know about California and the governator's forced furloughs of state workers.
None of these furloughs enter govnernment statistics and from what I can tell......it seems to be becoming more and more widespread as companies try to avoid additional layoffs.
For those people who can't afford a paycut and have little in the way of savings......they face serious financial issues.....my guess is that there may be millions of Americans facing forced furloughs in addition to the millions getting fired.
No wonder credit card defaults are growing parabolicly. Mortgage defaults continuing to skyrocket. With 50-75% of the American population living paycheck to paycheck and little in the way of reserves, if this trend keeps growing, we could be facing some serious issues in the not too distant future.
If any of you Cappers are familiar with forced furloughs....please feel free to contribute.