World economy is facing the heat. No country can hide away from the very fact that economic slowdown has taken toll on its economy. Companies quarterly results have taken a major hit and thus are striving towards controlling expenses, whether its by controlling expenditure or through layoffs or recruitment freeze.

Layoffs today is very much a reality in Indian corporate sector. Companies who till now have recruited in excess workforce in line with the projects it was expected to acquire from the customer is in dilemma.

Customers have put the projects on hold due to cash crunch and companies can’t afford to give salary to recruits who are not billable as they are cost to the company. Even people who are high on performance are no longer secure if they have high salaries as it all depends on how much cost allocation to a project need to reduce and in that case people on high salaries are more vulnerable.

In these uncertain times, one need to cut additional expenses and at the same time make sure that one is very much involved in actual work and not on bench. Such times are not new but maybe this time more intense and prolonging.

Investment in terms of FD’s is a good option and one can even think of shuffling equity portfolio. Markets will take an upward trends once things ease out but maybe one need to be patient and look at 3-5 years horizon.Blue chips companies like Reliance, ICICI Bank, L & T and many more are available at attractive prices and one can surely invest if one is long term investor. But surely one need to keep investments diversified in form of FD’s, PPF, NSC maybe, Mutual Funds etc.

Hard times ahead and only hard people will find the way through. This slowdown is devastating but at the same time maybe its an opportunity too, whether in stock market or maybe buying a house in coming months due to drop in realty prices which is hit the most.

Its a phase which will surely pass through...take this as an opportunity and you will ease your way through.

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