Thursday, March 12, 2009

Chapter16 Payroll Accounting

Chapter16 is about Payroll Accounting, so I've found a news base on salary and wages.
(link:http://www.thestar.com/Business/article/600786)
Article
The title of this article is "GM workers accept wage freeze"
General Motors workers in Canada have accepted concessions that will freeze wages and increase the costs of benefits until 2012. The cost-of-living allowance will also be frozen until June 2012. Haven't said that under the extension of the current three-year contract to 2012, production workers who currently earn about $34 an hour would not get any wage increases.
General Motors employs needs big savings in labor costs as part of a restructuring plan in order to be qualify for more than $6 billion in loans from the federal and Ontario governments. The union also estimates the concessions by workers and retirees will reduce GM's costs by more than $400 million over three years. GM also admit that the labor cost savings will allow the company to remain a longer period.
The parent GM Corp in USA says it needs several billion dollars more this month from Washington to keep operating because of a continuing plunge in revenues and auto sales.

Connections
In chapter 16 Salaries are paid to office workers, teachers, supervisors and many civil servants etc. And wages are payments to workers for their labor. Basically salary and wages are the same. one thing makes the difference is the Salary is defined as a fixed sum of money paid to an employee on a regular basis over a period of time (usually one year) but instead of years, Wages are payments on an hourly, daily, or weekly basis, or by the piece. Its very rare to see workers accept this kind of situation. After all Wages and salary are benefits for workers and cost for company.

Conclusion
In conclusion this article indicates the importance of balancing the cost of labor. This article also shows us the dimly future of the global economic. Normally workers wouldnt accept wage freeze as whats happening because that's what they are working for. Yet we dont know whether GM's plan is viable and makes sense to taxpayers. Under this three-year contract to 2012, production workers who currently earn $34 an hour would not get any wage increases and a cost-of-living allowance will also be frozen until June 2012. I've saw a lot of strike about workers and labor union complain about their low wages and salary but none of that like this. Its very special to see workers give up their rights and benefits for the uncertain future. i mean after all there is still a chance GM would shut down or go to bankruptcy before their promise goes ture.

Monday, March 9, 2009

Friday, March 6, 2009

Friday, March 06, 2009 Jobs Contract 14th Straight Month; Unemployment Rate Soars to 8.1%

(Link :http://www.bls.gov/news.release/pdf/empsit.pdf)
This morning, the Bureau of Labor Statistics (BLS) released the February Employment Report showing that the empolyment situation is getting worse. Payroll employment has declined by almost 2.6 million in the past 4 months.
2008-10-01 136352 (million)
2008-11-01 135755
2008-12-01 135074
2009-01-01 134419
2009-02-01 133768


By looking at this two graphes we can see comparing to last two years the Nonfarm payroll employment has droped almost 20% and The number of unemployed persons increased by 851,000 to 12.5 million in February which is almost 8.1 percent.
"The unemployment rate continued to trend upward in February for adult men (8.1 percent), adult
women (6.7 percent), whites (7.3 percent), blacks (13.4 percent), and Hispanics (10.9 percent).The
jobless rate for teenagers was little changed at 21.6 percent. The unemployment rate for Asians was 6.9
percent in February, not seasonally adjusted."


connection
The connection this article can link to chapter 15 is the use of trend analysis. Trend analysis is a very useful technique for examining financial statement and analysis presents financial data for a number of consecutive. Although trend analysis is often used to predict future events, it can be used to estimate uncertain events in the past too. but people usually used primarily to see the company or economic flow is performing over the past few months or years. For example, In this article it uses trend analysis to present the current employment situation which is deeply affected by the economic crisis.

Conlusion
Basically Chapter 15 is all about analyzing financial statement. Trend analysis is a comparison between the past time period and the present time period. By collecting information and attempting to spot a pattern, or trend, trend analysis gives us a visual prediction of the future and a visual estimate of the past. As you can see the first picture above, the the unemployment rate rose from 7.6 to 8.1 percent. this is a very significant change. The dramatic change in Nonfarm payroll employment and Unemployment rate represents the current global economic condition. and by looking at the graph, we can predict the Unemployment rate will continue to raise in the next two quarters or three. It may probably pass 10% of the whole population.

Total Nonfarm Payrolls: All Employees

(Link : http://research.stlouisfed.org/fred2/data/PAYEMS.txt)
Report.Title: Total Nonfarm Payrolls: All Employees
Series ID: PAYEMS
Source: U.S. Department of Labor: Bureau of Labor Statistics
Release: The Employment Situation
Seasonal Adjustment: Seasonally Adjusted
Frequency: Monthly
Units: Thousands
Date Range: 1939-01-01 to 2009-02-01
Last Updated: 2009-03-06 10:01 AM CST
Notes: Handbook of Methods Establishment Survey -
(http://stats.bls.gov:80/opub/hom/homch2_itc.htm)

Frequently Asked Questions - (http://stats.bls.gov:80/cps/cps_faq.htm)

DATE VALUE
1939-01-01 29923
1939-02-01 30100
1939-03-01 30280
1939-04-01 30094
1939-05-01 30300
1939-06-01 30502
1939-07-01 30419
1939-08-01 30662
1939-09-01 31032
1939-10-01 31408
1939-11-01 31469
1939-12-01 31539
1940-01-01 31603
1940-02-01 31715
1940-03-01 31826
1940-04-01 31699
1940-05-01 31880
1940-06-01 31978
1940-07-01 31942
1940-08-01 32352
1940-09-01 32810
1940-10-01 33265
1940-11-01 33668
1940-12-01 34172
1941-01-01 34480
1941-02-01 34844
1941-03-01 35094
1941-04-01 35468
1941-05-01 36182
1941-06-01 36651
1941-07-01 37137
1941-08-01 37544
1941-09-01 37836
1941-10-01 37948
1941-11-01 38024
1941-12-01 38104
1942-01-01 38348
1942-02-01 38513
1942-03-01 38936
1942-04-01 39351
1942-05-01 39772
1942-06-01 40028
1942-07-01 40470
1942-08-01 40988
1942-09-01 41254
1942-10-01 41514
1942-11-01 41673
1942-12-01 41915
1943-01-01 42174
1943-02-01 42395
1943-03-01 42553
1943-04-01 42646
1943-05-01 42596
1943-06-01 42781
1943-07-01 42701
1943-08-01 42546
1943-09-01 42484
1943-10-01 42675
1943-11-01 42819
1943-12-01 42747
1944-01-01 42661
1944-02-01 42543
1944-03-01 42291
1944-04-01 42062
1944-05-01 41985
1944-06-01 41947
1944-07-01 41904
1944-08-01 41848
1944-09-01 41671
1944-10-01 41708
1944-11-01 41711
1944-12-01 41861
1945-01-01 41903
1945-02-01 41903
1945-03-01 41795
1945-04-01 41443
1945-05-01 41304
1945-06-01 41148
1945-07-01 40873
1945-08-01 40466
1945-09-01 38500
1945-10-01 38598
1945-11-01 38996
1945-12-01 39111
1946-01-01 39839
1946-02-01 39250
1946-03-01 40192
1946-04-01 40908
1946-05-01 41348
1946-06-01 41732
1946-07-01 42153
1946-08-01 42642
1946-09-01 42908
1946-10-01 43094
1946-11-01 43396
1946-12-01 43379
1947-01-01 43545
1947-02-01 43563
1947-03-01 43605
1947-04-01 43491
1947-05-01 43637
1947-06-01 43808
1947-07-01 43742
1947-08-01 43958
1947-09-01 44201
1947-10-01 44415
1947-11-01 44486
1947-12-01 44578
1948-01-01 44686
1948-02-01 44537
1948-03-01 44680
1948-04-01 44369
1948-05-01 44795
1948-06-01 45032
1948-07-01 45160
1948-08-01 45175
1948-09-01 45294
1948-10-01 45250
1948-11-01 45194
1948-12-01 45028
1949-01-01 44675
1949-02-01 44500
1949-03-01 44238
1949-04-01 44230
1949-05-01 43982
1949-06-01 43739
1949-07-01 43530
1949-08-01 43621
1949-09-01 43784
1949-10-01 42950
1949-11-01 43244
1949-12-01 43516
1950-01-01 43530
1950-02-01 43298
1950-03-01 43952
1950-04-01 44376
1950-05-01 44717
1950-06-01 45084
1950-07-01 45453
1950-08-01 46187
1950-09-01 46442
1950-10-01 46712
1950-11-01 46778
1950-12-01 46855
1951-01-01 47289
1951-02-01 47577
1951-03-01 47871
1951-04-01 47856
1951-05-01 47952
1951-06-01 48067
1951-07-01 48061
1951-08-01 48008
1951-09-01 47955
1951-10-01 48009
1951-11-01 48149
1951-12-01 48308
1952-01-01 48299
1952-02-01 48522
1952-03-01 48504
1952-04-01 48616
1952-05-01 48645
1952-06-01 48286
1952-07-01 48144
1952-08-01 48922
1952-09-01 49319
1952-10-01 49598
1952-11-01 49816
1952-12-01 50164
1953-01-01 50145
1953-02-01 50339
1953-03-01 50474
1953-04-01 50432
1953-05-01 50491
1953-06-01 50522
1953-07-01 50536
1953-08-01 50487
1953-09-01 50365
1953-10-01 50242
1953-11-01 49906
1953-12-01 49702
1954-01-01 49467
1954-02-01 49381
1954-03-01 49158
1954-04-01 49177
1954-05-01 48965
1954-06-01 48896
1954-07-01 48834
1954-08-01 48825
1954-09-01 48881
1954-10-01 48944
1954-11-01 49179
1954-12-01 49331
1955-01-01 49497
1955-02-01 49644
1955-03-01 49963
1955-04-01 50246
1955-05-01 50512
1955-06-01 50790
1955-07-01 50985
1955-08-01 51112
1955-09-01 51262
1955-10-01 51431
1955-11-01 51592
1955-12-01 51805
1956-01-01 51975
1956-02-01 52167
1956-03-01 52295
1956-04-01 52375
1956-05-01 52506
1956-06-01 52583
1956-07-01 51954
1956-08-01 52632
1956-09-01 52600
1956-10-01 52781
1956-11-01 52822
1956-12-01 52930
1957-01-01 52888
1957-02-01 53098
1957-03-01 53156
1957-04-01 53238
1957-05-01 53149
1957-06-01 53066
1957-07-01 53122
1957-08-01 53128
1957-09-01 52932
1957-10-01 52765
1957-11-01 52557
1957-12-01 52385
1958-01-01 52077
1958-02-01 51576
1958-03-01 51300
1958-04-01 51026
1958-05-01 50913
1958-06-01 50912
1958-07-01 51037
1958-08-01 51233
1958-09-01 51506
1958-10-01 51485
1958-11-01 51943
1958-12-01 52088
1959-01-01 52481
1959-02-01 52687
1959-03-01 53016
1959-04-01 53320
1959-05-01 53549
1959-06-01 53678
1959-07-01 53803
1959-08-01 53337
1959-09-01 53428
1959-10-01 53359
1959-11-01 53635
1959-12-01 54175
1960-01-01 54274
1960-02-01 54513
1960-03-01 54458
1960-04-01 54812
1960-05-01 54472
1960-06-01 54347
1960-07-01 54303
1960-08-01 54272
1960-09-01 54228
1960-10-01 54144
1960-11-01 53962
1960-12-01 53743
1961-01-01 53683
1961-02-01 53556
1961-03-01 53662
1961-04-01 53626
1961-05-01 53783
1961-06-01 53977
1961-07-01 54124
1961-08-01 54299
1961-09-01 54387
1961-10-01 54521
1961-11-01 54743
1961-12-01 54871
1962-01-01 54891
1962-02-01 55187
1962-03-01 55276
1962-04-01 55601
1962-05-01 55626
1962-06-01 55644
1962-07-01 55746
1962-08-01 55838
1962-09-01 55977
1962-10-01 56041
1962-11-01 56055
1962-12-01 56027
1963-01-01 56116
1963-02-01 56231
1963-03-01 56322
1963-04-01 56580
1963-05-01 56616
1963-06-01 56658
1963-07-01 56795
1963-08-01 56910
1963-09-01 57078
1963-10-01 57284
1963-11-01 57255
1963-12-01 57360
1964-01-01 57487
1964-02-01 57752
1964-03-01 57898
1964-04-01 57923
1964-05-01 58089
1964-06-01 58221
1964-07-01 58412
1964-08-01 58620
1964-09-01 58903
1964-10-01 58794
1964-11-01 59217
1964-12-01 59420
1965-01-01 59583
1965-02-01 59800
1965-03-01 60003
1965-04-01 60258
1965-05-01 60492
1965-06-01 60690
1965-07-01 60963
1965-08-01 61228
1965-09-01 61490
1965-10-01 61718
1965-11-01 61997
1965-12-01 62321
1966-01-01 62528
1966-02-01 62796
1966-03-01 63191
1966-04-01 63436
1966-05-01 63711
1966-06-01 64110
1966-07-01 64301
1966-08-01 64507
1966-09-01 64645
1966-10-01 64854
1966-11-01 65019
1966-12-01 65199
1967-01-01 65407
1967-02-01 65427
1967-03-01 65530
1967-04-01 65467
1967-05-01 65618
1967-06-01 65750
1967-07-01 65887
1967-08-01 66142
1967-09-01 66163
1967-10-01 66225
1967-11-01 66703
1967-12-01 66900
1968-01-01 66805
1968-02-01 67214
1968-03-01 67296
1968-04-01 67555
1968-05-01 67652
1968-06-01 67904
1968-07-01 68126
1968-08-01 68328
1968-09-01 68487
1968-10-01 68720
1968-11-01 68985
1968-12-01 69245
1969-01-01 69438
1969-02-01 69698
1969-03-01 69906
1969-04-01 70072
1969-05-01 70328
1969-06-01 70636
1969-07-01 70730
1969-08-01 71005
1969-09-01 70918
1969-10-01 71119
1969-11-01 71088
1969-12-01 71240
1970-01-01 71176
1970-02-01 71302
1970-03-01 71453
1970-04-01 71348
1970-05-01 71122
1970-06-01 71028
1970-07-01 71055
1970-08-01 70932
1970-09-01 70949
1970-10-01 70519
1970-11-01 70409
1970-12-01 70790
1971-01-01 70866
1971-02-01 70805
1971-03-01 70859
1971-04-01 71037
1971-05-01 71247
1971-06-01 71253
1971-07-01 71316
1971-08-01 71368
1971-09-01 71620
1971-10-01 71642
1971-11-01 71844
1971-12-01 72108
1972-01-01 72445
1972-02-01 72652
1972-03-01 72945
1972-04-01 73163
1972-05-01 73467
1972-06-01 73760
1972-07-01 73709
1972-08-01 74137
1972-09-01 74268
1972-10-01 74672
1972-11-01 74965
1972-12-01 75270
1973-01-01 75620
1973-02-01 76017
1973-03-01 76286
1973-04-01 76456
1973-05-01 76646
1973-06-01 76886
1973-07-01 76911
1973-08-01 77166
1973-09-01 77281
1973-10-01 77605
1973-11-01 77909
1973-12-01 78035
1974-01-01 78104
1974-02-01 78253
1974-03-01 78295
1974-04-01 78384
1974-05-01 78547
1974-06-01 78602
1974-07-01 78634
1974-08-01 78619
1974-09-01 78614
1974-10-01 78627
1974-11-01 78259
1974-12-01 77657
1975-01-01 77297
1975-02-01 76919
1975-03-01 76649
1975-04-01 76463
1975-05-01 76623
1975-06-01 76519
1975-07-01 76768
1975-08-01 77154
1975-09-01 77232
1975-10-01 77535
1975-11-01 77679
1975-12-01 78017
1976-01-01 78506
1976-02-01 78817
1976-03-01 79049
1976-04-01 79293
1976-05-01 79311
1976-06-01 79376
1976-07-01 79546
1976-08-01 79704
1976-09-01 79892
1976-10-01 79905
1976-11-01 80237
1976-12-01 80448
1977-01-01 80692
1977-02-01 80987
1977-03-01 81391
1977-04-01 81730
1977-05-01 82089
1977-06-01 82488
1977-07-01 82836
1977-08-01 83074
1977-09-01 83532
1977-10-01 83794
1977-11-01 84173
1977-12-01 84408
1978-01-01 84595
1978-02-01 84948
1978-03-01 85461
1978-04-01 86163
1978-05-01 86509
1978-06-01 86951
1978-07-01 87205
1978-08-01 87481
1978-09-01 87618
1978-10-01 87954
1978-11-01 88391
1978-12-01 88674
1979-01-01 88811
1979-02-01 89054
1979-03-01 89480
1979-04-01 89418
1979-05-01 89790
1979-06-01 90108
1979-07-01 90214
1979-08-01 90296
1979-09-01 90323
1979-10-01 90480
1979-11-01 90574
1979-12-01 90669
1980-01-01 90800
1980-02-01 90879
1980-03-01 90991
1980-04-01 90846
1980-05-01 90415
1980-06-01 90095
1980-07-01 89832
1980-08-01 90092
1980-09-01 90205
1980-10-01 90485
1980-11-01 90741
1980-12-01 90936
1981-01-01 91031
1981-02-01 91098
1981-03-01 91202
1981-04-01 91276
1981-05-01 91286
1981-06-01 91482
1981-07-01 91594
1981-08-01 91558
1981-09-01 91471
1981-10-01 91371
1981-11-01 91162
1981-12-01 90884
1982-01-01 90557
1982-02-01 90551
1982-03-01 90422
1982-04-01 90141
1982-05-01 90096
1982-06-01 89853
1982-07-01 89510
1982-08-01 89352
1982-09-01 89171
1982-10-01 88894
1982-11-01 88770
1982-12-01 88756
1983-01-01 88981
1983-02-01 88903
1983-03-01 89076
1983-04-01 89352
1983-05-01 89629
1983-06-01 90007
1983-07-01 90425
1983-08-01 90117
1983-09-01 91231
1983-10-01 91502
1983-11-01 91854
1983-12-01 92210
1984-01-01 92657
1984-02-01 93136
1984-03-01 93411
1984-04-01 93774
1984-05-01 94082
1984-06-01 94461
1984-07-01 94773
1984-08-01 95014
1984-09-01 95325
1984-10-01 95611
1984-11-01 95960
1984-12-01 96087
1985-01-01 96353
1985-02-01 96477
1985-03-01 96823
1985-04-01 97018
1985-05-01 97292
1985-06-01 97437
1985-07-01 97626
1985-08-01 97819
1985-09-01 98023
1985-10-01 98210
1985-11-01 98419
1985-12-01 98587
1986-01-01 98710
1986-02-01 98817
1986-03-01 98910
1986-04-01 99098
1986-05-01 99223
1986-06-01 99130
1986-07-01 99448
1986-08-01 99561
1986-09-01 99907
1986-10-01 100094
1986-11-01 100280
1986-12-01 100484
1987-01-01 100655
1987-02-01 100887
1987-03-01 101136
1987-04-01 101474
1987-05-01 101701
1987-06-01 101872
1987-07-01 102218
1987-08-01 102388
1987-09-01 102617
1987-10-01 103109
1987-11-01 103340
1987-12-01 103634
1988-01-01 103728
1988-02-01 104180
1988-03-01 104456
1988-04-01 104701
1988-05-01 104928
1988-06-01 105291
1988-07-01 105514
1988-08-01 105635
1988-09-01 105975
1988-10-01 106243
1988-11-01 106582
1988-12-01 106871
1989-01-01 107133
1989-02-01 107391
1989-03-01 107583
1989-04-01 107756
1989-05-01 107874
1989-06-01 107991
1989-07-01 108030
1989-08-01 108077
1989-09-01 108326
1989-10-01 108437
1989-11-01 108714
1989-12-01 108809
1990-01-01 109151
1990-02-01 109396
1990-03-01 109611
1990-04-01 109651
1990-05-01 109800
1990-06-01 109817
1990-07-01 109775
1990-08-01 109567
1990-09-01 109485
1990-10-01 109324
1990-11-01 109180
1990-12-01 109120
1991-01-01 109001
1991-02-01 108695
1991-03-01 108535
1991-04-01 108324
1991-05-01 108196
1991-06-01 108283
1991-07-01 108236
1991-08-01 108251
1991-09-01 108286
1991-10-01 108298
1991-11-01 108240
1991-12-01 108263
1992-01-01 108312
1992-02-01 108246
1992-03-01 108296
1992-04-01 108454
1992-05-01 108580
1992-06-01 108640
1992-07-01 108711
1992-08-01 108852
1992-09-01 108887
1992-10-01 109064
1992-11-01 109204
1992-12-01 109415
1993-01-01 109725
1993-02-01 109967
1993-03-01 109916
1993-04-01 110225
1993-05-01 110490
1993-06-01 110663
1993-07-01 110958
1993-08-01 111119
1993-09-01 111360
1993-10-01 111637
1993-11-01 111898
1993-12-01 112206
1994-01-01 112474
1994-02-01 112675
1994-03-01 113137
1994-04-01 113490
1994-05-01 113821
1994-06-01 114136
1994-07-01 114499
1994-08-01 114799
1994-09-01 115153
1994-10-01 115360
1994-11-01 115783
1994-12-01 116057
1995-01-01 116378
1995-02-01 116587
1995-03-01 116809
1995-04-01 116971
1995-05-01 116955
1995-06-01 117186
1995-07-01 117265
1995-08-01 117536
1995-09-01 117781
1995-10-01 117928
1995-11-01 118076
1995-12-01 118207
1996-01-01 118188
1996-02-01 118622
1996-03-01 118885
1996-04-01 119046
1996-05-01 119369
1996-06-01 119647
1996-07-01 119879
1996-08-01 120075
1996-09-01 120295
1996-10-01 120538
1996-11-01 120834
1996-12-01 121001
1997-01-01 121231
1997-02-01 121532
1997-03-01 121844
1997-04-01 122135
1997-05-01 122391
1997-06-01 122644
1997-07-01 122927
1997-08-01 122909
1997-09-01 123417
1997-10-01 123756
1997-11-01 124059
1997-12-01 124358
1998-01-01 124628
1998-02-01 124817
1998-03-01 124961
1998-04-01 125238
1998-05-01 125639
1998-06-01 125851
1998-07-01 125970
1998-08-01 126322
1998-09-01 126540
1998-10-01 126733
1998-11-01 127017
1998-12-01 127359
1999-01-01 127480
1999-02-01 127890
1999-03-01 127996
1999-04-01 128372
1999-05-01 128585
1999-06-01 128851
1999-07-01 129142
1999-08-01 129334
1999-09-01 129536
1999-10-01 129944
1999-11-01 130238
1999-12-01 130532
2000-01-01 130781
2000-02-01 130902
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