New York City could lay off tens of thousands of city workers. Even with this massive downsizing, it will not be enough to stem the financial drain plaguing the city.

The the Wall Street newspaper reported that approximately 22,000 government workers must be made redundant to fill a growing $ 9 billion deficit.

New York City Mayor Bill de Blasio said of the dire situation: “Here’s one way to think about it – for every hundred million dollars in the city’s budget – that’s about 2,200 city employees. , on average. He added: “Closing a $ 1 billion gap would mean laying off 22,000 city workers, which is a staggering number.” New York has approximately 330,000 municipal employees.

For several months, New York City held the unwanted title of the U.S. epicenter of the Covid-19 pandemic. As in other large cities, businesses have been ordered to close and residents to stay indoors.

New York relies heavily on its bustling commerce, entertainment, and social activities to attract and retain people. With no restaurants, concerts, museums, sporting events, and people traveling to Manhattan from other boroughs (New York City includes five boroughs), the city has quickly changed. The inhabitants fled the city.

As people stopped traveling to New York, worked remotely, businesses closed and social activities ceased, business revenues plummeted. As businesses of all sizes saw their profits evaporate, the city government received significantly less taxes.

With much less money in the city coffers, this pushed de Blasio into a precarious position. He does not have good choices and must choose among the less good options. The mayor will have to cut thousands of municipal jobs to save money. This means that there will be far fewer police, firefighters, garbage collectors and teachers.

Growing up in Canarsie, Brooklyn, I vaguely remember, but distinctly remember my parents’ stories of the gravity of New York City in the 1970s and early 1980s. A trip to Manhattan has been described from time to time. ‘in a disturbing, dark and menacing way, like entering “the city”. The streets were dirty and grimy, crime was rampant and morale was low. It was common for me to see burnt wrecks of cars sitting on the shoulders of the Belt Parkway. Nearby, Bedford-Stuyvesant, Brownsville, Williamsburg and Crown Heights were in varying degrees of dystopia and far from the cool, hip places they were before Covid-19.

With less tax revenue, the city government must make drastic cuts. The results will lead to a rapid degradation of daily life. In response to changes in the city, residents have already started to flee en masse to Long Island, the Hamptons, and the Connecticut and New Jersey suburbs. This is causing a further downward financial spiral. As more and more people leave, the city will lose more tax revenue and have to make more cuts, which will start a new cycle of pushing people to leave. The people who leave are mainly the wealthy ones, as they can afford to just pick up and go. They represent an important source of tax revenue initially.

This is where New York City is heading now. New York was considered one of the best mecca in the country for ambitious people keen to accelerate their careers and cultivate an active social life. The city offered an abundance of employment opportunities and a vibrant nightlife. People were prepared to pay exorbitant prices for houses and apartments. They saw this as the entry cost to having a better life and a better job.

In light of lockdowns, business closures and the trend towards remote working, New York City has changed dramatically. Many people found themselves trapped in small and overcrowded apartments because they were ordered to stay in their homes. Restaurants, clubs, gymnasiums, hair salons, museums, concerts and sporting events suddenly closed. There are reports of an increase in crime, shootings, homeless people and drug addicts taking to the streets.

Residents have started to wonder why they are paying so much money for their rent when they can’t take advantage of all of Manhattan’s deals and are afraid to go out. As they lost their jobs, city dwellers had to fight against paying a large chunk of their wages in housing costs and taxes, while not having a job or keeping their jobs for life. .

Leading business leaders at companies including Google, Twitter and Square have offered their employees the opportunity to work from home for the foreseeable future. A large number of CEOs followed suit and offered this opportunity as well. The homework movement has freed people confined to a place that offers only a reasonable commute to work. Because employees can work remotely, they can now live wherever they want and don’t have to stay in New York.

In addition to the layoffs, taxes will be significantly increased on its residents already overburdened to raise funds. With higher personal taxes, expensive apartments, lack of security and fear of a Covid-19 resurgence, people will continue to move and head to places deemed safer with a better quality of life. Then de Blasio will be forced to carry out even more job cuts. Over time, he will have to consider cutting health and pension benefits for municipal workers in order to have enough funds to run the city. Those left behind risk living in dirty, crime-infested places, with the threat of virus outbreaks.

James Altucher, a widely followed podcast host and bestselling author, wrote a provocative article titled: “NYC IS DEAD FOREVER … HERE’S WHY. In the post, Altucher said, “I love NYC. When I first moved to New York it was a dream come true. Every corner was like a theatrical production happening right in front of me. So much so. of personality, so many stories. He continued, “Now it’s completely dead.” Altucher says the city is on a “death spiral” and will not rebound.

Comedian Jerry Seinfeld responded to Altucher in a New York Times opinion piece. Seinfeld wrote: “I will never give up New York. Already. He proclaimed, “Energy, attitude and personality cannot be ‘distant’ even through the best fiber optic lines. This is the reason many of us have moved to New York. in the first place. Seinfeld goes on to say, “A real, living, inspiring human energy exists when we coagulate together in crazy places like New York. Self-pity because you can’t go to the theater for a while. a certain time is not the essential character element that has made New York the brilliant diamond of the activity that it will someday become again.

To be fair, Seinfeld is worth over $ 600 million and it makes life in New York a lot easier than the average person, but his sentiment represents the history of the city. New York suffered the 9/11 financial crisis, city worker strikes, blackouts, the brink of bankruptcy, and many other challenges, but always seemed to find a way to bounce back and reinvent itself.