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Bear Stearns Collapse Leads to Job Loss

Could You Imagine Losing Your Job and Nest Egg at Once?

When clients withdrew $17 billion from Bear Stearns in just two days, they were taking away more than just their money from the 80-year-old financial institution. The 14,000 employees of the bank are mourning the unexpected events and counselors have been rounded up to help them through the process. Many of them won't have a job after all is said and done and everyone with company stock has seen their assets dramatically drop. Think counselors are an excessive corporate measure? Think again — an employee that owned $200,000 in Bear Stearns stock now has an account worth about $2,000. Most employees working for a financial institution that offers proprietary mutual funds or stocks have retirement accounts primarily composed of these types of investments.

The counselors are actually called employee assistance professionals, and they compare the shock of losing your job or life savings to the initial feeling when discovering you have a terminal disease. They say their work is similar to grief counseling because side effects and emotional stress from these types of events closely resemble the grieving process. Could you imagine if you were someone close to retirement and learning that you've lost everything? It would be terrifying and devastating.

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Join The Conversation
jen22 jen22 9 years
When I heard about Bear Sterns going under I immediately thought about the workers and the people who had invested their money into the company. Its just so tragic, especially for those coming close to retirement.
indielove indielove 9 years
I'd rather invest my money in Forex and the stock market these days. Sounds of recession...can anyone hear them?
indielove indielove 9 years
How'd I know just from reading the title that this was going to be about Bear Stearns?
princessjaslew princessjaslew 9 years
that's going to really suck. esp for those who were really depending on the money
MandyJoBo MandyJoBo 9 years
Tragic for them and their families. I can't imagine that feeling.
ilanac13 ilanac13 9 years
that's just painful to think about what's going on with Bear Stearns. i'm really thankful that i heard on the news today that Morgan Stanley's credit rating went up becuase they are still doing ok amidst this nonsense
CaterpillarGirl CaterpillarGirl 9 years
when you invest your money into stock like that, you always go in knowing it could all go to Hell.......you hope it doesnt but you cannot live thinking its "safe"
gaptooth gaptooth 9 years
You would think intelligent employees had learned from Enron employee's troubles. Nothing is said about how many employees got hurt. This article may just be stirring-the-pot by a writer against deadline. I'm sure the execs also learned from Enron. As in "No jail for me!"
bellaressa bellaressa 9 years
WTH, I feel for those people. Hopefully, no one does violence. I wonder what the execs have. I bet they pulled their money out.
RosaDilia RosaDilia 9 years
I would have more than a nervous breakdown!
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