Question

1. Write two (2) posts to the forum that follow the following guidelines:
   • Initial Post: What assumptions do you have about unemployment? Have those assumptions been challenged by the readings or the videos? Why? Do you think that there can be positive outcomes for the unemployed after layoffs, downsizing, and outsourcing? Find evidence that supports your position. You may look at a specific region (like Detroit, for example), or a specific industry, but you should find some examples to back your argument. Be sure to cite your sources while you write a post in the discussion forum outlining your position.

Answer 1

1. ''Lay-off's'' means terminating of employees due to the lack of work. ''Downsizing'' means releasing employees as the organisation has been restructured and there is no need of them. ''Outsourcing'' means the work is handled to other organisation either overseas or domestically.

2. Lay-off's generally occur due to seasonal employment. Eg. Products that are sold in winter are produced with overtime to the employees but the same rate is absent in summer. According to U.S. Department Of Labour (DOL) lay-off's affected 1.3 million employees from the period 1996 to 2003.

3. Downsizing generally occur when the employer finds lower costs of production in other country or state leaving the present location. Companies according to NewYork Times like FedEx Corp. is creating a loyal workforce which is against lay-off's and downsizing, which seems to work well in economic good and bad times and stood up as an example to the other companies alongside.

4. Outsourcing as mentioned above is basically handing over part of the work to someone else who are already experienced in the field and this is indeed done to decrease the wastage of time recruiting.

5. Since Detroit is African American country to the ratio expressed in percent of 80%, the unemployment rates are higher than the rest of the state and the nation which marked to 8.7% as of December.