Question

During the recession witnessed in early 2001, many firms laid off their employees and downsized. the reason for this decrease in the demand for employees was:

Answer 1

During the recession witnessed in early 2001, many firms laid off their employees and downsized. The reason for the downsizing of employees from these firms in 2001 was the incompetency and poor performance of the employees. It may sound mean but to the company, this is advantageous since they can reduce the costing while at the same time maintain or increase the final goods.