Careers

Who lost their job in the great Recession of 2008-2009?

  • Last Updated:
  • Jun 16th, 2018 11:43 pm
[OP]
Penalty Box
User avatar
Jun 24, 2015
1228 posts
135 upvotes
Woodbridge, ON

Who lost their job in the great Recession of 2008-2009?

How many of you lost jobs in 2008-2009? I not only lost my full time job, I lost the house I was about to purchase because I could not secure a mortgage with a big huge gap in my employment and working side jobs / self employed jobs and contract work.

I recovered in 2012 but by then the housing market was jumping and a house I origionally wanted to buy that cost 250,000 was going for almost 400,000. so that was another set back.
Hi
38 replies
Newbie
Feb 13, 2017
91 posts
20 upvotes
toronto, ontario
GoodFellaz wrote:
Jun 5th, 2018 2:53 pm
I recovered in 2012 but by then the housing market was jumping and a house I origionally wanted to buy that cost 250,000 was going for almost 400,000. so that was another set back.

Did you purchase that house? A big win if you did. Today it is probably worth $800,000 or more.
Deal Addict
Oct 18, 2014
1432 posts
502 upvotes
New York City
Roughly 1 in 4 of my colleagues were let go. Was not a fun period.
Deal Addict
Aug 31, 2005
1372 posts
977 upvotes
Richmond
Was layoff in 2008 but got a much better job right after with 25% raise. Didn't even get a chance to get EI or go on a in-between job vacation as they wanted me to start asap. Didn't even realize it was in a recession and this wasn't supposed to happen.

Still at the same company 10 years later. I guess I lucked out.
Deal Fanatic
User avatar
Jul 12, 2003
8494 posts
1303 upvotes
Markham
I was hired in May 2008 at the big 5 bank then work there for almost 8 years before I jumped elsewhere.
Retired Forum Moderator February 2009 - June 2015
Sr. Member
User avatar
Oct 27, 2004
986 posts
116 upvotes
I have only just recovered from a job "slump" that lasted from my first layoff in 2005, until January 2017. 12 years of underemployment, patching together part-time jobs and "consulting" to earn less than half what I was at in 2005.

IMO, unemployment isn't the problem, it's underemployment.

Anyways, I never thought I'd get back into the game at my age, but I also never gave up. 12 years of resumes and interviews until I finally found someone who recognized the value of my experience and maturity. I tell everyone I know in the same boat: Never Give Up.
Deal Fanatic
User avatar
Mar 31, 2008
9837 posts
1374 upvotes
Toronto
My best bud lost his corporate banking job (credit sell-side). But the Bank he worked for which he only started not even a year before, got bailed out by the country, so he still ended up with a big fat bonus while he was already laid off (after getting severance). Subsequently got back in after all the bail outs and wall street recovery about a year later and is now sitting pretty on the buyside working for a fund.

And you wonder why a 'disrupter' like a Donald Trump is in Office (Remember, Obama's popularity plummeted during this time for the 'over' bailouts.)

I worked in finance too, and sure, there many people that did get laid off, including whole 'divisions', especially if you were remotely related to any sort of Structured Finance product, but everyboyy I knew got back in it, and are doing well. Really didn't skip much of a beat. Layoffs happening after were more associated with restructuring, older employees, more individualized cases.

But the uncertainty of it all was quite scary.
Member
Sep 28, 2013
457 posts
96 upvotes
at1212b wrote:
Jun 5th, 2018 5:22 pm
My best bud lost his corporate banking job (credit sell-side). But the Bank he worked for which he only started not even a year before, got bailed out by the country, so he still ended up with a big fat bonus while he was already laid off (after getting severance). Subsequently got back in after all the bail outs and wall street recovery about a year later and is now sitting pretty on the buyside working for a fund.

And you wonder why a 'disrupter' like a Donald Trump is in Office (Remember, Obama's popularity plummeted during this time for the 'over' bailouts.)

I worked in finance too, and sure, there many people that did get laid off, including whole 'divisions', especially if you were remotely related to any sort of Structured Finance product, but everyboyy I knew got back in it, and are doing well. Really didn't skip much of a beat. Layoffs happening after were more associated with restructuring, older employees, more individualized cases.

But the uncertainty of it all was quite scary.
Yes, I'm sure Trump would've REALLY hesitated to bail out banks - you know, after he's disassembled regulation to reign them in, you can just tell he'd take a libertarian view. No-one with that gun to their heads would've taken the moral high ground by not forcing TARP through.
Deal Fanatic
User avatar
Mar 31, 2008
9837 posts
1374 upvotes
Toronto
angrybanker wrote:
Jun 5th, 2018 7:36 pm
Yes, I'm sure Trump would've REALLY hesitated to bail out banks - you know, after he's disassembled regulation to reign them in, you can just tell he'd take a libertarian view. No-one with that gun to their heads would've taken the moral high ground by not forcing TARP through.
It's funny that Bush put the first TARP that helped fuel Obama into office (McCain even said he didn't understand economics when all this was happening). So the First Tarp which more House Republicans actually voted against than for it, helped Obama win. Once Obama took office, the effects of the first bailout (if anyone remembers the AIG Bonus situation) started occurring on his watch despite TARP passing (Oct 2008) before his election.

BUT instead of putting most of his political capital into fighting the 'bonuses', the Dems had to get their share and passed a 'Recovery' Act (American Recovery and Reinvestment Act of 2009) around the same time (Q1/09). This was a purely partisan bill with ALL Republicans voting against this, while Dems voted for it. Although this was targeted purely from a Keynesian side, therefore supposed to help the Public more directly, many didn't see it that way. They saw it as another bail out for a certain segment of the population (also reflected in the pure down the line vote).

So it was bad timing to do it when the symbolic AIG bonus fiasco was happening. Despite all the people supposedly being happy with this 2nd bailout, this really led to the first real mass Tea Party Protest movement which btw already started prior to that being sparked with Ron Paul's Presidential run in 2008 (many people don't see that Trump's campaign is actually mutant of that Tea Party). It's Politics 101 which is to strike earliest as possible so that second Relief Act which wasn't talked about at all during the campaign felt like a betrayal to many.

This lead to the biggest (along with ObamaCare) Congressional swing in this case from Democrats to Republicans in History. A trend that continued throughout Obama's term thereafter and leading to a Trump Presidency.

So I'm not blaming Obama per se, as the Dems in Congress started planning this and wanted to take full advantage, but the optics and timing was bad. That's what I meant by 'over' bailout. It all got lumped in together (when Execs laying of millions in the US, they were getting bonuses at the same time the Gov't was doing another type of bail out that wasn't understood). Literally a few months later, is when he started pushing Obamacare but that's another story.

I'm sure Trump would have gone crazy and done it even more.. then we would have gotten a Bernie Sanders type of person as President I reckon.
Member
Sep 28, 2013
457 posts
96 upvotes
at1212b wrote:
Jun 5th, 2018 9:51 pm

I'm sure Trump would have gone crazy and done it even more.. then we would have gotten a Bernie Sanders type of person as President I reckon.
Haha, well the way it's going, he may yet get the chance ;)
[OP]
Penalty Box
User avatar
Jun 24, 2015
1228 posts
135 upvotes
Woodbridge, ON
PhotoSmurf wrote:
Jun 5th, 2018 3:35 pm
Did you purchase that house? A big win if you did. Today it is probably worth $800,000 or more.
No I was disqualified for my mortgage because I had been laid off, even if I did have a mortgage, how would I make the monthly payments with a huge gap in my employment?
Hi
Deal Addict
Oct 18, 2014
1432 posts
502 upvotes
New York City
OP, great thread btw. Gives the ability to share a different perspectives to the millenials that have not been exposed to any recessions.

Some random observations:
-Driving in the bay area and the highways are empty during "rush hour" in 2001
-Seeing all the home foreclosure signs in the US in 2008
-Huge lines at job fairs
-Those that did not lose their jobs, were all scared to
-In general, those who have been part of the recessions have a different work ethics than those who have not
[OP]
Penalty Box
User avatar
Jun 24, 2015
1228 posts
135 upvotes
Woodbridge, ON
thanks man yeah a lot of millenials have not been thru a recession and it is good experience for them, yeah its bad to go thru it but if you can survive it and come out ahead, you can sustain your future
Hi
Deal Fanatic
Dec 11, 2008
8443 posts
758 upvotes
Nope. Got hired Dec 2007 and nothing happened. Bought my first house in May 2008 actually.
Deal Addict
User avatar
Dec 27, 2009
4833 posts
2218 upvotes
Ottawa, ON
GoodFellaz wrote:
Jun 6th, 2018 9:29 am
No I was disqualified for my mortgage because I had been laid off, even if I did have a mortgage, how would I make the monthly payments with a huge gap in my employment?
I think he meant in 2012 for $400k.

Top