AOL Plans on Cutting One-Third of Its Workforce
This article talks about AOLs, a large internet media company, plans for the future. Specifically, it is planning on letting go of one third of its workforce, about 2,300 workers, in order to cut down its costs. The company estimated that they will be able to save an estimated 300 million dollars anually, but they will lose 200 million in the first half of next year.
This will be highly damaging for the already suffering economy for several reasons. First, the layed off workers will add on to the already extremely high unemployment rate of the United States. Second, since more people are without jobs, there are less consumers on the market. So, there will be a further decrease in expenditure, which will lower the United States GDP.
http://money.cnn.com/2009/11/19/technology/aol_job_cuts/index.htm
