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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: BubbaFred who wrote (40091)	10/23/2003 11:43:27 PM
From: AC Flyer	Read Replies (1) \| Respond to of 74559

>>That's truly amazing for a third world country, that employment is being sacrificed for high productivity.<< It's more a question of labels, I guess. It's called productivity in the US. In China, it's more that the CCP has been withdrawing support for the inefficient relics of centrally-planned industrial production. This is no secret. But the net result has been significant job losses in Chinese state-owned manufacturing enterprises since 1995 followed more recently by manufacturing job creation in the quasi-private sector. The big picture, though, is the massive leap in global manufacturing efficiency. If the Alliance Capital study is accurate then in seven years (1995-2002) global manufacturing employment declined 11% while output increased 30%. That's 5% annual productivity growth. Sounds about right.

To: BubbaFred who wrote (40091)	10/24/2003 5:24:21 AM
From: elmatador	Respond to of 74559

BFred, Productivity is measured as how little pseudo-jobs a business can have. Downsizing, re-engineering were all short-hand for getting rid of the pseudo-employee. Those who don't add anything to the output of a company. I can recall, back in the seventies, that I have to be tested they used Rorschach tests, psychological tests in order to evaluate me for an employment. (I looked reasonably sane at that time, for someone tests me to see if I was crazy!!!) But there were this people there occupying a room and earning a salary for that kind of non-sense. Today, as a contractor, I send a CV, get interviewed by phone, get a contract via email, sign the last page fax it back, get a ticket and start in Bangkok straight away. Doing a job with much more responsibility than that I was trying to get in Brazil back in the 70's. The good thing about the sequence of busts is that at every recovery less people are needed.) Germany is a case in point). Hence the busts serve as a way to weed out the pseudo-workers. At Ericsson they said they don't sack the pseudo-workers (before the bubble burst) because if the guy would appear for a pseudo-job, his sense of self esteem was not undermined, which would be the case of they would send the person home.