The common theme that we are seeing is VSS among institutions today under the rationale of cost saving to boost profits. My questions are
1. Over expansion and over hiring in the past?
2. Poor and Bad judgment?
3. Low productivity?
The first route to cutting cost is to CUT HEAD COUNTS. Subsequently it will be more VSS, pay rise freeze, bonus deleted, perks chopped and procurement reduced.
The impact trickles down to peripheral supporting business escalating to more VSS in other sectors.
Will we be looking at more VSS, more unemployment with yearly fresh graduates streaming to the market place?
It is without any doubt VSS has finally hit our shore!!! The good news is I do not see any panic like back in 1997-98. Maybe it is still in the initial stage. We will know comes 2016 - 2017 over the next 2 years.
Globally, including Malaysia is experiencing 3in1 coffee mix
1. Inflation
2. Recession
3. Deflation
A very unique economic condition.
Malaysian have been living in an artificial inflated economy with subsidies and what not. The time has come for reality check and it is a matter of time where a paradigm shift will occur.
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