Saturday, June 25, 2011

(476) Preparing for imminent recession

Just yesterday Elizabeth came back and explained excitedly to me why her boss took every case that came to the door regardless if there was man power to deal with it. No! It was not greed. It was not to torture the employees. It seemed that all economic indicators showed an imminent recession.

During the 1997 recession, this boss was a chambering student. Apparently it went for months without any selling or buying of property. Employees with no work went to dig out old files, they traced their old clients and offered to change the name of their properties' electric or water supply. For many months, that was the only income the firm could earn. If the principals did not set aside reserves, retrenchments would be inevitable.

It is just too bad that a temporary staff like Elizabeth was worked to the maximum for the common good of her colleagues. Come slow down and the cessation of speculated fueled trading of properties, then the entire firm would relax and feed on what they worked so hard to accumulate for the rainy season.

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