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Corporate layoffs are very low




If publicly-announced corporate layoffs are a sign that big business is bracing for bad times, then this chart says we're well on the road to recovery. According to the tally of the folks at Challenger, Gray & Christmas, recently announced corporate layoffs are just about as low as they've been at any time in the past 10 years. It strongly suggests that corporations have trimmed virtually all the fat they had planned to; that they are now lean and mean; that with almost no plans to fire anyone, they are very likely going to be hiring increasing numbers of new employees given the numerous signs of recovery in many sectors of the U.S. and global economies. In short, this is very good news.

So why is the world so concerned about the possibility of a double-dip recession? From the way the market has been acting, you'd think investors are bracing for bad times ahead. This chart says they should be preparing to celebrate the better times to come instead.

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