When I hear a company’s executives say they want to “increase value” for their shareholders, I shudder.
In many cases, the major individual shareholders of those companies are those executives.
And “increasing value” often means cutting costs – often through job cuts – forcing the remaining workforce to produce more.
Don’t get me wrong, I realize these companies most often need to streamline operations to continue to produce or offer services. Otherwise, they wouldn’t be employing anyone.
In an article on the front page of the July 23 issue of our business section, analysts trumpeted Xerox’s solid second quarter profits, touting the company’s performance in the midst of the downturn.
But buried toward the bottom of the Bloomberg News story was a line that the company cut 2,500 jobs this year.
I’m not criticizing Xerox. It and other corporations do what they have to do to remain profitable, but let’s not forget those people who are left behind in the process.
