Newsweek: The Real Cost of Layoffs Isn’t In the Financials

Lisa LaViers, assistant professor of accounting, contributed an article to Newsweek about the need for additional disclosures to help investors better understand the true cost of layoffs on future profitability. 

“When firms conduct layoffs, they are not just reducing salary expenses. They are also losing important human capital assets, but the current accounting rules hide this loss. Investors should not accept this level of opacity. They should actively demand more details about layoffs in conference calls and by contacting firms’ investor relations departments.”

To read the article in its entirety, visit newsweek.com:

https://www.newsweek.com/the-real-cost-of-layoffs-isnt-in-the-financials-10972986