First Brexit employment casualties

[Stopyourhavering]

dd graduated this week, happy times.....phoned this morning to say that 2 of her friends, who had also graduated ( business/law degrees) and been offered jobs had been telephoned by their prospective employers to say that because of Brxit, they were now basing their headquarters in Berlin rather than UK and would no longer be employing them......I fear this is just the start....I am so angry and upset for our youth. My ds and dd2 are so angry and feel betrayed....I wish 16 &17 year olds had been given a vote as I feel they had a better handle on the repercussions of Brexit

The turkeys voted for Christmas. The high paid graduates will do fine. The low paid workers who votedfor Brexit are the ones likely to suffer in the recession. It is not so that firms will take no action for 2 years. Business is not like the state. It plans ahead and has to pick where to be based usually on the basis of where customers are, workers are, access to local markets, tax advantages etc.

The FT says "Ford said on Friday that it may cut jobs in Britain in the wake of the country’s vote to leave the EU, becoming the first auto group to raise questions over the future of its investments in the country.
The group, which closed two UK plants in 2012 with the loss of thousands of jobs, said it “will take whatever action is needed” to keep its operations competitive.
Many of the world’s largest car groups have manufacturing operations across Britain, and about 80 per cent of the cars that roll off UK production lines are destined for export — half of those to the rest of the EU. Toyota, Jaguar Land Rover and Honda said they were committed to their UK operations, while BMW said there would be “no immediate change”.

But analysts said car companies will be wary of giving UK plants new work while the prospect of trade tariffs are looming."

it is also not true that all City bonuses will go. of course not. Some peiople were bright enough to make money on the result - I think Crispin Odey did rather well.

If a company has a choice of two locations in which to invest: one in a stable economy and one which is set to face 2 years of turmoil uncertainty, which location do you think they will choose?

If, say, that company was going to issue a contract to consultants to investigate recruitment or buildings in that location, do you think they would go ahead with awarding that contract if they now knew that they were no longer considering that location?

So yes, it is possible that expected contracts were withdrawn/told they weren't going to be placed on Friday.

Dh works in Inward Investment. Decisions are made based on perceptions of a country's stability.

If you based your vote on a short time horizon

What? Where did you get that idea?

Btw a rise unemployment rises means loss of personal income, negative multiplier effects, loss of national output, fall in tax revenue and higher welfare costs.

If you've been made redundant with less than a week's notice per year worked then your company hasn't followed employment law.

If you've been there less than 2 years it's different and will be whatever is in your contract (and depend on whether there's a PILON - pay in lieu of notice - clause.

I would recommend that anybody who's already been told they're being made redundant (with or without almost-immediate effect) seek some legal advice to ensure the redundancy process has been followed correctly.

And being put 'at risk' doesn't necessarily lead to redundancy. It may be that the consultation process is started and simultaneously behind-the-scenes strategies are being looked at.

It's a shame that some firms are reacting so quickly when Article 50 hasn't been invoked and we don't yet know what's going to happen and when, and what agreements are in place with the EU re (for example) continuing financial trading within the EU from outside of it.

A bit like all the big banks putting their contingency plans into place when we briefly had a 50% top tax rate.. Not!

Name a large company putting a relocation plan into place. jUST ONE. The only real evidence we have is jp Morgan's reassuring statement linked to by Mamamea.

"Those demanding names are acting like infants. Of course people should feel no obligation to share personal, identifiable details on the internet."

What, the name of a company is personal information?

What planet do you people live on?

The reality is, that the Remainers have gone insane, and are throwing their toys out of their prams all over social media, ranting and raving like lunatics. People are just asking for one single shred of evidence, rather than to take the rantings of the mad at face value.

I have seen things like 'we will need a visa to visit France and Scotland' on social media. What the actual fuck? We currently have visa-free access to at least 170 countries. Visas are NOT the norm, globally, for UK passport holders. The idea that Europe is going to fuck itself over, the idea that Eurodisney would let the French and EU bankrupt it, the idea that the Spanish, Greek and all the rest with billions and billions of revenue from British tourists would slit their metaphorical wrists is so utterly bonkers it defies belief. Pure fantasy, a 'how dare you cunts vote Exit, you racist fucks, here's a load of shit I made up which won't actually happen but I'm going to blame you for it in advance, because I'm a twat'

The Remain camp's ranting nonsense in response to the Brexit vote defies belief. Hence people asking for proof, because there are so many plain and simple lies from the Bremainers.

"You're forgetting potential import duties into Europe."

This won't happen. The UK imports far more Audis, VWs, Seats, Peugeots, Renaults, Fiats, and BMWs than it exports Nissans and Transit vans.

It's totally absurd to imagine that Europe would impose tariffs on us, when they have far, far more to lose than we do.

I've been with my current employer for under 2 years (17 months exact)
My contract states I have to give one weeks notice before I'm able to leave,
I assume its the same for employers.
I don't think I have a PILON clause.

Mama, well they might! It would be cutting off their nose to spite their face. But, as I pointed out above, wto rates are 7.5% and this is easily taken care of by fx movements.

The only real evidence we have is jp Morgan's reassuring statement linked to by Mamamea

Reassuring but not the complete picture. In fact, they will retain a 'large presence' in the UK, but 1000+ jobs in London are to go to Europe. That's what they're referring to when they say:

"In the months ahead, however, we may need to make changes to our European legal entity structure and the location of some roles."

The company I work for has been waiting for a number of projects to be confirmed, which now likely will not be. Our order book is significantly down this quarter as our clients have waited for the referendum. We were going to recruit around 10-12 graduates this year and if the management are feeling brave will be hiring 5-6. With luck the company will ride the storm but I'm not optimistic, and riding the storm means slashing our costs to the bare bone. My best case scenario is that I keep my job but my hours are cut, worst case that I am made redundant.

It took a while to find a job where the hours worked with my childcare arrangements. I won't be able to afford being so picky in the future and as a single mum I am terrified.

You do know that the government will use the impending recession to peel back all of the EU employment legislation - the maternity rights, the part time rights, various anti discrimination legislation. With more people chasing fewer jobs wages will be further suppressed.

I'm highly amused at the level of denial going on. To throw my hat in the ring, I will point out that I spent a some of Friday looking at whether certain clients can terminate their contracts with UK firms and take their business elsewhere in the EU.

But no, must have all been in my imagination.

Manon,

What that statement means is that the same people will do the same jobs from the same place (except a few lawyers) but they will change the legal entity to allow access to single market. Very reassuring.

2 major businesses who threatened to do so have said they will

Which two?

If we go into recession....................................

Mamamea

At the moment Nissan benefits from the trade agreements within the EU. Once we are out, the terms will not be so advantageous.

If Germany and France impose import duties on Nissan vans made in the UK, it's cheaper for Nissan to base their factories in those countries. So, no they have nothing to lose.

Well, my job is writing project proposals for UK based small and medium enterprises and charities that receive EU funding.

One client has already been told that a funding stream is being cancelled.... with the knock on affect that I will not get the contract for writing and doing due diligence. That will mean job losses. And that was just by 5 pm Friday.

But it's all in our heads apparently.

Leave voters really need to take their fingers out of their ears and start listening to the reality of a leave vote.

larry

When they say they are going to 'change the structure and location of some roles' they mean those roles are going to be relocated abroad.

The 'legal entity structure' is the legal definition of the business, it does not refer to lawyers.

The EU knows what it has lost, the U.K. All we have gained so far is economic and politcal uncertainty.

A lot of places employ people as contractors.

They can be terminated with less than a week's notice. That's part of the risk of being a contractor.

Jobs can just go like that, if this is the way the company is structured.

Manon,

It refers to a small office in the ec, a legal entity with small staff. Relocating a dealing room is really expensive and you lose a lot of staff who would rather party in Kensington than Frankfurt or Zurich. Really, we have been here before with the 50% tax and a few hedges relocated, many coming back with their tails between their legs.

London will not relinquish its grip on finance easily, if at all.

You have to be able to speak French or German to work in Paris or Frankfurt, even if you work for a British or American company. They may speak some English too, but the primary language will the country's language*

Not true. From personal experience