A very good friend of mine phoned me a few minutes ago to inform me that his company suddenly downsized and he, and quite a few of his fellow workers, are now out of a job. I could tell from his voice that he is in shock.
Back in January of 2014 I wrote on this very subject and warned that all employees ought to be tuned into their company’s financial status and to keep an eye on the world scene for advance clues to how their own company is likely to react. [You may want to click here to visit that Nugget that can help you evaluate right now. ] It might come in handy, someday…possibly even, today.
In addition to the tips in that particular Nugget, let me use today’s Nugget to also suggest that it is important to keep your eye on today’s currency war taking place within international markets.
Impact on Your Company Profits From Currency wars.
If your company is selling products to other countries or is importing products to be consumed in manufacturing, the rise and fall of the relative value of currencies between countries can be destructive to your company’s financial progress.
A Canadian company importing raw materials from the USA has to pay for those materials in USA dollars. Bad for the Canadian company’s bottom line. Likely, bad for employees since an employee reduction program may be highly likely.
An American company making products in America and exporting, may discover that it may have to drop selling prices drastically to be able to compete with China-made goods. Bad for the American company’s bottom line. Likely, also bad for employees since an employee reduction program may be highly likely.
When Bottom Lines Get Stung, Employees Get Burned.
When profits slide, the leadership often make the hard decision to downsize by laying off even their most valuable employees. By watching company financial results, one can often pick up direct and indirect signals of upcoming employee reduction programs.
Remember to keep your RESUME In Great Shape.
While employed, learn to keep feeding your resume with updates and by working the “system” to have the employer bear as much of the costs as possible to upgrade your skills, education, and experiences. Take advantage of anything and everything that can make you a more valuable employee at your company. Try to leverage any available company benefit programs which can help to increase your education and skills/experiences. If you are suddenly laid off, and if your resume is at-the-ready, you will be able to begin the tedious and extensive task of searching for a new job almost immediately.