Effects of Downsizing on Employees
Effects of Downsizing on Employees
Statement of Problem
Downsizing is a major problem faced by employees during tough times of recession. Apart from the economic reasons, they also have severe psychological effects on the employees. This project is about comprehending the effects of cut backs on employees. Employees suffer from severe self-esteem issues, due to which it’s very hard for them to jump back into the same mental stableness.
The structure of this study is to assess the effects of downsizing on employees. Employees tend to be less effective after a downsizing procedure took place in their organization. Dedication towards their jobs decline as a result of downsizing. Depression is one of the major issues that are targeted by this study and there are a couple of scenarios that pertain to this topic which are going to be evaluated. The scenarios are as follows:
• Depression suffered by employees during downsizing.
• Downsizing’s ill effects on surviving employees.
• Employees losing self confidence due to termination.
• Treatment of employees during termination.
Definition of Terms
The concept of downsizing is commonly known as the lessening of labor force in a business. There are multiple ways of looking at this particular term, as employees and employers look at this from different angles. Organizations believe that they would become more productive and successful due to downsizing. Employees on the other hand look at downsizing as the management’s weapon to implement more control over the employees, as employees would always be on their toes when work is considered because they would be scared of losing their employment. Employees face severe problems of job insecurity. Employees suffer from severe depression, low self esteem and a lot or emotional trauma. To maintain a stable life, they have to try to cope up with all these psychological issues. Downsizing thus defined, falls into the category of management tools for achieving desired change, much
Statement of Problem
Downsizing is a major problem faced by employees during tough times of recession. Apart from the economic reasons, they also have severe psychological effects on the employees. This project is about comprehending the effects of cut backs on employees. Employees suffer from severe self-esteem issues, due to which it’s very hard for them to jump back into the same mental stableness.
The structure of this study is to assess the effects of downsizing on employees. Employees tend to be less effective after a downsizing procedure took place in their organization. Dedication towards their jobs decline as a result of downsizing. Depression is one of the major issues that are targeted by this study and there are a couple of scenarios that pertain to this topic which are going to be evaluated. The scenarios are as follows:
• Depression suffered by employees during downsizing.
• Downsizing’s ill effects on surviving employees.
• Employees losing self confidence due to termination.
• Treatment of employees during termination.
Definition of Terms
The concept of downsizing is commonly known as the lessening of labor force in a business. There are multiple ways of looking at this particular term, as employees and employers look at this from different angles. Organizations believe that they would become more productive and successful due to downsizing. Employees on the other hand look at downsizing as the management’s weapon to implement more control over the employees, as employees would always be on their toes when work is considered because they would be scared of losing their employment. Employees face severe problems of job insecurity. Employees suffer from severe depression, low self esteem and a lot or emotional trauma. To maintain a stable life, they have to try to cope up with all these psychological issues. Downsizing thus defined, falls into the category of management tools for achieving desired change, much
References: Kivimaki, M., Vahtera, J., Pentti, J., Thomson, L., Griffiths, A., & Cox, T. (2001). DOWNSIZING, CHANGES IN WORK, AND SELF-RATED HEALTH OF EMPLOYEES: A 7-YEAR 3-WAVE PANEL STUDY. Anxiety, Stress & Coping, 14(1), 59. Reinardy, S. (2010). DOWNSIZING EFFECTS ON PERSONNEL: THE CASE OF LAYOFF SURVIVORS IN U.S. NEWSPAPERS. Journal Of Media Business Studies, 7(4), 1-19. The author describes the organizational developmental theory by this study Mayton, S. M. (2011). Survivor Coping. OD Practitioner, 43(1), 42-47. Kumar, M. (2009). "Downsizing" on Retainers ' Behaviour. SCMS Journal Of Indian Management, 6(3), 93-103. Obilade, S. (2009). Motivating Downsizing Survivors in Small Businesses. Southern Business Review, 34(1), 19-35.