Corporate layoffs have never been popular among those being laid off, and they sure aren’t making the current unemployment picture rosier anytime soon.
But what about the other side of the equation — the company doing the cutbacks?
Lagging earnings typically are to blame for layoffs. Revenues are difficult to juice at a whim, so many instead try to reduce expenses — by hacking away at personnel — to prop up that bottom line.
But you can’t cut your way to prosperity. Operations can get bloated, and streamlining can produce a healthier company — but for meaningful growth, you eventually have to tackle the big revenue problem.
The following four companies weren’t shy about the cutting in 2012, as they posted record layoffs. But what they’re doing to augment their leaner structures is a little more suspect: