As many corporate employees are well aware, the trends that Wall Street engage in have a large influence on business around the nation. In essence, it sets the tone for the entire country’s corporate world. Keeping this in mind, it is of little wonder that the newest Wall Street trend has some worried
In an effort to cut costs, some Wall Street companies have engaged in a new practice called “
With the abundance of technology available today, many younger salespeople can be nearly as effective as their more experienced counterparts. Because younger employees typically require fewer wages and benefits, this adds further value in the eyes of some companies looking to cut costs.
Unfortunately, this means that many experienced traders have been kicked to the curb on Wall Street.
This process leaves many questioning the benefits that corporate experience might hold. In spite of the fact that experienced employees cost more to employ, many suggest that these extra costs are worth it. For instance, experienced employees might bring in more company revenue due to a loyal client base and market expertise. This extra revenue might even cover the costs of their higher salaries.
Furthermore, experience results in quicker, more confident decision-making. For veterans in a particular field, their jobs become second nature. This equals greater independence, less babysitting, and smoother action.
While laying off experienced traders or salespeople on Wall Street might have its immediate fiscal benefits, the long-term drawbacks are yet to be seen. Could this be a vital mistake on the part of this nation’s corporate leaders?
Only time will tell how these cost cutting measures may affect corporations nationwide.