If you’re one of the unlucky ones who’s been laid off in the last 18 months or so (which is many, if not all of you guys reading this), the long-term effects may haunt you for decades: The AP reports that workers laid off in the recession of 1981 were earning 20 percent less than the employees who kept their jobs twenty years later. This is largely due to the scarcity of jobs forcing talented people to take a pay cut in order to bring home any money.
Mainstreet talked to Jessica Moore, former managing editor for digital media at Sesame Workshop, which produces “Sesame Street,” who jumped at the chance to move to Boston and take a 25% pay cut at a company a “fraction” of the size of Sesame Workshop.
It’s not just media folk who are doing this, though anecdotally the pay cuts may be the most severe; an IT guy Mainstreet spoke to took a 15 percent pay cut for his latest job, and a construction industry manager gave up his seniority and took a 12 percent cut.
Has this happened to you?