Ahhh yes. Our measurement metrics are based on the wrong view of success. Sadly some of the media is causing these problems … maybe unintended … but I hope not to keep their corporate sponsors happy or create more click bait.
The real price will be paid by the damage to the workforce for those with lower paying jobs and the lack of employment for an extended period and those in the gig economy. I believe some companies will discover they can live with even fewer employees and will reduce wages and benefits because of the demand for fewer jobs and a plentiful labor supply. And maybe even a push toward more Artificial Intelligence will reduce the demand for labor. AI doesn’t cost much if left idle and certainly does not need any sick leave.
The question is, will the Federal and State governments help this group of people and will the impact ever be truly measured? In KY the unemployment claims are 30 times higher than the same period last year. The KY Govenor was asked by the Department of Labor to not report the numbers so he used this fact so you could do your own math.
I did read that Best Buy is paying every employee even if they stay home. They are also only asking for volunteers for their curbside pick up service (no showroom traffic allowed) and these get a temporary raise. Hopefully they can continue this for a while. There are a few good corporate citizens.
Our little downtown shopping area in a town of 25,000 will likely be severely damaged because most are individual proprietors and probably not well capitalized to survive a month or two of no sales. Sadly one of the stores is an old style bookstore.
And what happens when the next virus comes along? Those that have recovered their health and/or finances won’t be as strong for the next event. And there will be another. Mother Nature will adapt and thrive with or without humans.
I hope the rich can figure out how to eat their stock certificates, because in the long run, without the workers that are now getting laid off, there will be a severe impact on consumption resulting in an impact on their individual portfolios.
Buckle up. The fall may not be so bad but when we hit bottom, with this event or another, the stop at the bottom will be painful for nearly everybody.
