As everyone knows that the Year 2020 introduced corona virus to mankind. It was not possible to go out and find job as various countries had imposed lockdowns and thus movement of goods and services were severely restricted. In that situation many companies allowed their employees to work from home. Since then, many small and medium size companies have closed their business and their employees have lost their job. Some had to restrict to low salary while the numbers of the billionaire increased all over the world. At first Governments allowed inflation to rise during the lockdowns to increase liquidity in the hands of the people so that demand may increase. But, that demand was not because of the cash crunch, it was the result of the lockdowns which restricted movement of goods and services. Later it increased inflation and thereafter the central banks of many countries increased the interest rates. So, the governments’ faulty policies and lack of prudence is the primary reason behind the current situation.

International Monetary Fund (IMF) chief Kristalina Georgiev has announced that the one third of the world economy will face recession during this year. Covid related restrictions, Russia Ukraine war, greed of the rich and mismanagement of the politicians have ruined the world economy. Companies’ profit is declining which is resulting in lay off of workforce.

During 2022, big companies like Meta, Amazon, Alibaba, Credit Suisse etc. have fired thousands of their employees Link. It is not going to stop. Microsoft, Swiggy in India and many other companies have followed the same path. Twitter has lost 50 percent of its employees since Elon Musk became its owner. Global unemployment rate is increasing at a very fast rate. This is an alarming situation which seems having no solution.

We have seen during the recession of 2007-08 that big companies get huge bell out packages from the governments but they don’t care for their employees. These big companies never decrease salary and perks of their top management. They get huge salaries while lower class employees are fired and their families are destroyed. Retrenchment further increases recession as purchasing power of lots of people is reduced or completely perishes. Big companies get bell out packages from the savings resulting from the hard earned money of the common people and common people do not get any benefit of their own money. This is the irony of the economic system prevailing over the world. The top 10 percent of the rich own over 50 percent money but, they contribute very low amount in the taxes. For example in India, top 10% rich contribute only four percent as Goods and service taxes. So, one can understand easily that what system is ruling common people and how are they being used for the rich. This is a transition from ‘work from home’ stay home unemployed.