Target and Sony both withdraw from Canada. The Coffee Break 15 January 2015.
Both Target and Sony have announced that they will be closing their retail operations in Canada, with Target citing business losses, while Sony simply wants to shift their operations to Resellers, the online market, and telesales. This will mean that a lot of folks will be out of work – and further adding to the troubles is the slump in oil prices which are the province of Alberta’s main economic driver. While these three news items may sound like doom and gloom, allow me to present a different perspective.
The oil sector is only one sector, and like power, economic prosperity should come to all sectors. Indeed when oil was sky-high, trucking and shipping (which is arguably much more significant as it is the movement of goods) suffered tremendously. Now that the price of oil has gone down, people will be more inclined to spend on luxury goods, entertainment, or just simply be able to save some cash overall. Unfortunately some folks will lose in this regard, but like anything in life, some win and some lose.
Next comes the Target and Sony shutdowns in Canada: minimum wage jobs are not something to cry about. When the manufacturing sector reduced their facilities in North America significantly and shifted their operations overseas, that was something to cry about – union jobs with union wages, and union benefits. When you look at retail sales you see minimum wages (barely enough to pay for rent in a major city, let alone help pay for college or help finance a house or car), no benefits (they part-time the workers so that they do not have to give them benefits, and then jerk them around with the promise of full-time employment – utter tosh), and finally the company benefits while the workers see nothing in regards to profits; not even a Christmas bonus (though the CEOs lavish themselves with said benefits). Long story short, yes there will be a lot of people out of work, but in the end who wants to do that sort of work forever anyways? One certainly cannot raise kids on minimum wages, and one cannot improve their position in life when they are trapped in part-time jobs that go no where, have no benefits, and overall do nothing to improve the quality of life – rather you work long hours for low pay, and you can get tossed out the door just like that.
There you have it folks, short and sweet (or bitter, depending on your point of view). The Oil sector loses but the others win, while the retail sector marches on (the amount of choices is good; think back to when Microsoft tried to turn the Xbox One into a prison console – that is what happens when there is no competition (it did not come to pass, thankfully)). This has been the Coffee Break for the 15th of January 2015 – if you like my work and want to contribute to the site, please feel free to check out my Patreon Page located in the link below: thank you all for reading, and I shall see you next time.