Manmohan Singh

Today the Newspaper headlines mentions our Prime Minister requesting the Industry not to go for Cuts. Individual reasons for Job Cuts might vary but problem with the Industry is that most players tend to sway enmasse. While adding people they overdo - why not add a few more - what if some people leave - in the process increasing the bench strength. And now when few industries are facing a slowdown there is a ripple effect across the board. Here is the chance why not sack a few more and send a message that non performance will not be tolerated.

Good time to target some eye sores and pains in the wrong end.

I remember an HR friend of mine mentioning that there was one employer of hers who used to throw people out if he didn't like their face. No, questions asked - face no like - thats it - out you go. And my friend used to play the part of the reluctant hangman.

Coming back to the scenario - I read somewhere that 1 out of 7 listed companies in India are officially in recession.That is 15% approx. What about the remaining 6 - have they stopped growing. Cant be . Maybe they are growing at a slower rate.

Now Indian GDP is expected to grow at 7% this is official.Maybe 5-6% actually.

So growth is happening. The Brouhaha is because 99% of the media is now focussed on the approx 15%( 1 of 7)of the total industry sector which is in recession.And they are churning out pages and pages of info to psyche people out.

And people who are psyched out read more of the same that had psyched them out in the first place. This cycle will go on till the marginal utility of placing another recessionistic article becomes = zero. This can happen in 3-6 months time . And then suddenly we will see only headlines of companies that bet recession and made 100% growth rates.

Thats my reading of the situation.Very simplistic but truthful nevertheless.

what say u?