Layoffs

Persistently high jobless claims, along with this week’s announcements of tens of thousands of layoffs, indicate widespread economic pain.

Sales and customer-support roles are among those being eliminated, and affects some workers who sell the company’s software aimed at financial-services firms, health and life-science companies and other cloud sales teams.

The world’s biggest retailer has laid off hundreds of workers in its store planning, logistics and real estate units.

While recessions are almost impossible to predict, employers can plan for the financial impact caused by workforce adjustments that inevitably happen every year.

The cuts are needed because the coronavirus pandemic is still battering demand for flights, the company told employees Wednesday.

Most of the firm’s professional assistants and “select professional staff” will move to a shorter work week and will see compensation reductions.

“Employers are grappling with the seemingly endemic skills gaps in healthcare, supply chain and skilled trade fields,” says Rachel Carlson, CEO of Guild Education.

With factories, schools and shops shuttered around the world, lockdowns, pay cuts and layoffs are affecting 38% of the global workforce.

During recessions, not only do layoffs accelerate, but hiring drops sharply, exacerbating the labor market weakness.

“This morning’s data leaves no doubt that the economy is currently in a recession,” said Matthew Luzzetti, chief U.S. economist at Deutsche Bank.