Unemployment: A Morale Problem

The article discusses the interesting effect morale has on the labor market. The main focus of the article dwells upon the interesting effect a recession has on unemployment. Unemployment and real wage is different than raw materials and other costs to a company in a recession because inanimate objects don't possess morale like humans do. The quote, "UNEMPLOYMENT, in this context, is like battlefield triage, leaving some severely injured soldiers to die so that medics can keep as many as possible in fighting condition," left a lasting impression on me. I know that the labor market has been described as a battlefield before, however when put in context like this, it shows the perspective of a CEO in a company. When times are tough, the company is forced to make difficult decisions the same way a family in a recession is forced to do. In the case of a company, they try to keep the core group of their productive, loyal workers, and their job security is proven at the expense of the lower level employees. Unfortunately this mass layoff is having a negative effect on the atmosphere of the company. Everyone in the workforce, as a result, have lower morales. While most accept living in fear is extremely difficult... why would working in fear be any different? The notion of an unstable workforce threatens everyone, and unfortunately workers productivity is affected by their morale.