Before Coronavirus Crash, Many Big Corporations Broke the No. 1 Rule of Personal Finance
Kitchen-table finance begins with one simple rule: Have several months’ worth of expenses on hand, in cash, in case something unexpectedly goes wrong.
Some of America’s biggest employers are beginning to discover the truth of this maxim as the coronavirus crisis catches them short of cash just as business crashes. Together, the restaurant, leisure and hospitality, and airline industries account for about 17 million U.S. jobs.
And there’s another reason why more workers are likely to get laid off if the crisis persists: Their employers are short of cash often because of stock buybacks.
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