Global Economic Crisis

[Steve & Sandra Senior Member Find all posts View Profile Close Steve & Sandra]

peoples thoughts and opinions of the current economic crisis. Have you been affected or know of someone?
It hasn't affected us yet but i think next year could be interesting if the price of raw materials keeps falling. just hope china and India keep moving?
Although i believe Australia is in a much better position than other countries.
I wonder what this all means for us four wheel drivers, does this mean no more new toys?
Cheers
Steve

[lofty Advanced Member Find all posts View Profile Close lofty]

Re: Global Economic Crisis

Gotta love the cheaper fuel at the moment, but i dont expect it to last. OPEC have already met and decided to reduce supply, so i wonder how long before prices go back up.

[mav Addicted PP Member Find all posts View Profile Close mav]

Re: Global Economic Crisis

Well it has seen sponsorships of events dry up faster than water in the desert.

No pay rises till 2010 at the earliest with my company, not all that surprising since they have not given a pay rise for the past three years anyway. I dars say that they will cut heads again in the new year or outsource again to some non english speaking country for help desk services. :lol:

[leachy_9 Advanced Member Find all posts View Profile Close leachy_9]

Re: Global Economic Crisis

I work in the mining sector, engineering and there has been a signifciant downturn. While resuorces is cyclical and the boom/busy cycle is expected, the rate at which things have changed has been astonishing. In the last 8-10 weeks things have gone from flat out boom to companies scrambling to find enough work. All Mining companies have either stopped projects or put them on hold. Most fo the smaller miners have slowed / stopped production and reduced staff.
After 5-7 years of boom and silly pay levels I think a lot of people are in for a harsh reality check. But while lot of people are going to be forced to down size, sell toys etc. there is also a great opportunities for those who are noy so heavily leveraged to pick up bargains.

Leachy

[D4D Addicted PP Member Find all posts View Profile Close D4D]

Re: Global Economic Crisis

Looks like Toyota isn't imune either http://www.news.com.au/heraldsun/story/ ... 64,00.html

[spara Advanced Member Find all posts View Profile Close spara]

Re: Global Economic Crisis

I work on the edges of the wine industry, we have put off two employees and all going on 4 day week starting January. "Management and the Factory"

[IRON-PAWW Avid PP Poster! Find all posts View Profile Close IRON-PAWW]

Re: Global Economic Crisis

Well I can tell you that mining exploration projects have been severely cut back in the last few months. Geologists are losing their jobs steadily, crap drilling crews can finally be told to jump in the lake as the more respectable companies now find themselves with some spare drilling rigs. Fortunately, my girlfriend who is a geologist, still has her job but it's looking likely that she'll be moving into reduced hours next year (2009). My brother, who is a geophysicist is also looking at reduced hours in 2009.

Local Govt however has been really quite depleted of qualified engineers etc throughout the mining boom. Civil engineers would be offered 100K plus vs the 60k odd they could get in local Govt and of course there was no difficult decision to be made at all. I can tell you right now that if you are looking to come back to a civil Engineering position in the city then do it now!. A few months ago our council put out job ads for civil engineers and draftspeople without a single response! Recently we put out the same ads again and have been comparatively swamped with applications. Around 40 or so at last count! That is a sure sign that things have shifted. All retrenched mining people now have a difficult readjustment and reality check to contend with. Very very few city based businesses will be able to offer similar wages to what was being earned in mining.

Even people in the mining sector were beginning to say in the end that things had gotten too far out of control. Graduates being paid HUGE wages. Idiots wasting a LOT of company money and killing expensive plant and equipment because they simply didn't know what they were doing and didn't give a damn to boot. I even heard that some established mining operations were sailing perilously close to the wind in the end because their input costs were becoming unworkable. And the skill bought for that money simply wasn't there. In a nutshell those heydays simply could not be sustained and were ridiculously overvalued.

A few weeks ago I spoke with an old retired engineer working for us. His son works for Rio Tinto and had just been told to fire 1500 staff that the the company no longer needed. 1500! Said his son was dreading it as some of the people he had to fire were his mates......

I feel sorry for those losing their jobs. It's going to be very interesting what the fallout will be.

[FlyNdrive Advanced Member Find all posts View Profile Close FlyNdrive]

Re: Global Economic Crisis

I can attest to the Global Market Slowdown in the US. I was planning on bringing my FJ to the PP GTG, however had had a series of setbacks associated with the market problems.

1) I was cleared by Toyota financial to allow me to take the FJ out of the country for 90 days as opposed to the 30 days allowed for in the contract. I received a letter about a month later stating that the decision was reversed due to problems with owners leaving and not returning. I know there is a problem with Mexican residents getting into financial problems and driving a financed vehicle into Mexico, however I think this does not apply and is overkill. I thought about getting a second mortgage on my house, pay off the FJ, and take a gamble with needing insurance, but that seems a little drastic.

2) I was quoted a price for insurance from AIG to cover the lein for the duration of the trip, however in the time since the quote AIG has been taken over by the US government and my trip is now considered high risk and I an un-insurable through AIG. My only option is to be insured through Lloyds of London at almost triple the cost.

3) I was upgrading my vehicle for the Simpson crossing and added several comfort items such as a RTT & awning, dual spare tyres, refrigerator, and RV-Q (built on grill). I was able to purchase and install the items before I got word that there will be job cuts in my industry and I had the option of getting a $10K+ (US) pay cut or look for work. I also went from an hourly paid position to a salaried position this eliminating overtime resulting in a further loss of income.

4) The last straw. Last weeks Christmas party was not at the lavish steak houses we have come accustom to, however at a crab shack. It was good company, but boss grabbled at every pitcher of beer and dessert that was ordered. When the Christmas cards from the boss came there was nothing in there as a gratitude for our hard work. I have had one of the most successful years on record for anyone in my industry (I can brag about it because i am exceptionally good at what I do). This gave me about another $2-3K cut than last year.

5) And even worse. I was hoping to make this a family trip of a life time, however with money being tight I will be traveling alone (with the thankful help of LiveFreeAndRoam) and the wife and daughter will have to see Australia on a second trip when we can bring the little comforts such as a RTT or caravan. There is a slight chance Julie can go, however we would need to cut the trip to about 2 weeks and need a reliable Prado (better than a Hertz rental) for the Simpson crossing. We are looking to see if Kennedy (2 1/2 yo.) can stay with family up here for 2 weeks. Cross your fingers so we can make this happen.

I think it's time to change industries, however the jobless rate up here is at it's highest level since Busch's father was in office. I hope Jan. 20th brings us a better America and a better president.

See you in July,

-Ben

[lofty Advanced Member Find all posts View Profile Close lofty]

Re: Global Economic Crisis

Hey Ben, interesting reading.

Just curious, and tell me to go take a jump if its to personal, but what industry are you in?

Sounds like if you are good at your job you will keep it.

My take on things is even high unemployment still means 90% employment, hopefully the world economic downturn is just an evening up of the skills base.

Bummer about the usual bonuses

[D4D Addicted PP Member Find all posts View Profile Close D4D]

Re: Global Economic Crisis

About to get worse for WA http://www.news.com.au/heraldsun/story/ ... 61,00.html

[Golly Advanced Member Find all posts View Profile Close Golly]

Re: Global Economic Crisis

and today for BHP employees, 6000 jobs going worldwide.
I have friends at Mt Keith and Ravensthorpe (my neighbour), he is in I.T. I hope he can find work if he is layed off. World sucks :cry:
My job is safe at the moment...... :|

[FlyNdrive Advanced Member Find all posts View Profile Close FlyNdrive]

Re: Global Economic Crisis

Hey Ben, interesting reading.

Just curious, and tell me to go take a jump if its to personal, but what industry are you in?

Sounds like if you are good at your job you will keep it.

My take on things is even high unemployment still means 90% employment, hopefully the world economic downturn is just an evening up of the skills base.

Bummer about the usual bonuses

Lofty,

I'm an Insurance Fraud Investigator (PI for short). Most of our clients are insurance companies. It use to be considered a recession proof business, but as AIG showed us insurance companies are just as vulnerable as everyone else. As for unemployment; a lot of states are becoming bankrupt because there are so many people using the benefit. It's expected to get worse for another year before it gets better. i have high hopes for Obama and just glad George Bush is gone.

-Ben

[Guest Close Guest]

Re: Global Economic Crisis

I work in an industry that actually gets busier when there is less money around and layoffs etc as crime escalates.
Its getting paid for the ample work out there that is the issue..... :evil:

[Steve & Sandra Senior Member Find all posts View Profile Close Steve & Sandra]

Re: Global Economic Crisis

I think i spoke too soon, we are now deferring our bonus and 6 monthly CPI pay rise. This is to hopefully allow the company to keep some money in the bank and protect our jobs. But i cant see this working. So its only a matter of time before we too start getting laid off.

[joey Avid PP Poster! Find all posts View Profile Close joey]

Re: Global Economic Crisis

lucky for me my company is booming...we supply transport, fuel, accomodation, catering to mines and we have picked up more contracts internationally .
so my pay rise is just approved .
lucky gold is strong.

to be honest the worse the dollar is the better for me.
plus morgage drops and cheaper fuel is very nice as well..


joey