Recently heard a discussion on CNBC about the status of many of the recent high flying tech stocks. The talk was concerning the employees. It turns out that as is often the case, many of the younger employees took stock as part of their pay plan. Now that many of these stocks have fallen 40, 50, 60% in the last several months, these employees have seen their “pay” cut to shreds and have decided to walk away. But, by walking away, it has put many of these companies into a stall. The reduction of employees to perform the tasks required is preventing some of these companies from recovering quickly.
So is this a concerning issue that may spread further? Or do you think this is a temporary situation that will self correct?
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