Experts: Layoffs may peak by summer

[Omaha Steve]

http://www.azcentral.com/arizonarepublic/business/articles/2009/01/04/20090104biz-layoffs0104.html

End to job losses may signal start of recovery

by Betty Beard - Jan. 4, 2009 12:00 AM
The Arizona Republic

Arizona layoffs have soared recently as the recession has deepened, but some experts believe the faster we get through the layoffs, the quicker the economy will recover.

They hope layoffs will peak before the spring or summer. And they believe that technology likely will play a key role in the recovery.

One thing that sets this recession apart from previous ones is that companies rely more on technology to tell them when sales are down and when they need to reduce inventories, cut back on production or let workers go, said Joel Naroff, a Philadelphia economic forecaster.

"They are adjusting almost immediately in a real-time basis . . . making the numbers look uglier," he said.

In November, Arizona was one of 15 states that had a record high average number of newly laid-off workers filing claims for unemployment insurance, the U.S. Department of Labor reported.

Claims are considered the best gauge of layoffs. The number of initial claimants more than doubled in November, compared with a year earlier.

FULL story at link.