Forum Post: Lowe's closes stores, slashes jobs, to make share holders happy
Posted 13 years ago on Oct. 17, 2011, 10:35 a.m. EST by johnlsenchak
(10)
from Wilkes-Barre, PA
This content is user submitted and not an official statement
It appears that Lowes is more interested in keeping share holders happy than employing American workers
New American Dream equation : (greedy corporate profits) plus (happy shareholders) plus (wall street ) plus (Made in China) minus (American Jobs) = Occupy Wall-street
NEW YORK (Reuters) - Lowe's Cos Inc said on Monday it is closing 20 of its U.S. stores, eliminating nearly 2,000 jobs, and the home improvement retailer now plans to open far fewer locations in the future, citing the need to improve its profitability.
Lowe's, which operates about 1,700 stores in the United States, said it closed 10 stores on Sunday and would close another 10 within a month.
Chief Executive Robert Niblock said in a statement that the company has to "make tough decisions" to improve profitability. http://news.yahoo.com/lowes-closes-stores-slashes-store-plan-123721596.html
Profitability is the driving force for growth. We are currently in a business cycle recession. The boom has ended, and in a big way. As has happened innumerable amounts of time in the past businesses are cutting back consolidating debt and restructuring their business style and cost benefits. Though like all business cycle recessions it will be followed by a business cycle expansion. Unfortunately due to deregulations in the wrong areas, and regulations in even worse areas, the end of the business cycle recession is taking longer to turn around then normally.
Whats happening in lowes is normal for this type of period and eventually leads to more growth. Be patient, outside of cataclysmic events, things always turn around.
Really?... Really?, so companies are not allowed to be profitable anymore? This is not an example of what occupy wall street is attempting fix. However, this is an example of how the ideology from the movement has become inconsistent and misrepresented.
I mean honestly how on earth can you blame a Business, an enterprise that's goal is to be profitable, for being profitable. What? just because they are firing people? They do not have the customer base to maintain those jobs which is not their fault. And if they keep everyone employed the whole company will go down. A post like this is why this movement will not be taken as seriously as it should be.
somewhere in this country a middle-aged, middle-income man is smiling to himself.
Lowe's board is mandated by law and decisions of the SC that their only focus is to create shareholder profits.
So blame the law.