China, the country of extremes, is getting plenty of attention these days.
Between the disappearances of CEOs of troublesome companies, a stock market that makes a habit of crashing, fumbling of currency transactions on the global marketplace, a panicked civilian population revolting over government service cuts, and, now, headlines screaming of millions of job layoffs coming in 2016, China is getting plenty of undesirable attention. Beware, though, China is merely a leading indicator. When it comes to jobs in jeopardy, America is not immune.
This is another in a series of Nuggets on this site written to warn you. To give you a heads up. More economic pain is surely to arrive in the USA economy in 2016!
A few weeks ago, January 14, 2016, Bloomberg Businessweek reported that the Chinese steel industry, suffering from overcapacity, had dropped more than 500,000 workers. It estimated that, when combined, the Chinese steel industry and the Chinese mining industry may be planning to lay off 1 million workers in 2016. [Source: “Layoffs Loom in China as Growth Slows: The number of protests doubles, and most industries are affected,” By Dexter Roberts, Bloomberg Businessweek. Jan. 14, 2016,]
Zerohedge.com points out that layoffs from those sectors in China could affect as many as 3 additional downstream jobs for every 1 from these primary industry jobs. It estimates that as many as “…1.6 million total jobs!” might be in jeopardy in China. [Source: “China Warns “Social Stability Threatened” As 400,000 Steel Workers Are About To Lose Their Jobs” by Tyler Durden. Zerohedge.com. Jan 25, 2016.]
But President Obama would not want to bother you with such trivia. Instead he’d ask you just think happy thoughts.
You go ahead and do that. But you had better start preparing for tough days, and tough layoffs ahead in your own industry. Are you preparing? It’s not about you but what you do for your family. Get yourself ready and build as much a protective cushion as you can.