When unemployment rates rise, there is an increased demand for services at a time when communities are experiencing sharp declines in tax income.
Receiving a lump-sum payment at the end of their employment can be a positive for employees as they can clear debts or build up their savings. They found that employees with the greatest number of contacts with downsizing both direct, or personally targeted, and indirect, coworkers laid off, noted considerably lower levels of job security and higher levels of role ambiguity, desire to leave their jobs, depression and health concerns.
In addition to this, those left behind also worry that more layoffs might be made and if for some reason they think that the downsizing process was unfair, the respect and trust they have in employers is diminished.
Therefore, a leader must be a keen listener and attuned to the employees under their purview; thus they should empathetically appreciate how and what employees are thinking.
Though the organizational changes may have significant benefits for the surviving employees in the short term or long term, people will inherently mistrust the organizational leadership. Are you struggling to write your Assignment?
The results were similar to earlier studies indicating that job insecurity can often have harmful consequences for individuals.
The impact of restructuring also placed an indirect effect on absenteeism through job satisfaction. You cannot pass it off as your own work but you can get a perfectly written custom paper at an affordable price.
A literature review of downsizing studies by Farrell also showed the connection between downsizing and the impact on market orientation. Layoffs have been devastating to workers and their families.
In such situations, economic dislocation also creates problems for the greater community. Some employees may perceive themselves as incapable of learning new skills; hence unable to take new responsibilities while others may be concerned that there is too much work.
The noticeable increase in certificated sickness absence was partially explained by simultaneous increases in physical demands and job insecurity and a decline in job control. Conclusion The impact of downsizing may have long term consequences if they are not effectively managed.
Adjustments for impaired social support or increased smoking did not change the relationship between downsizing and absence from illness. Leaders must take time to talk to individual employees; this makes them aware that they are valued.
A reduction of employees leads to a number of negative effects; the closing of an entire plant or business can even result in greater problems. This makes leaders feel guilty and deceptive since they have to discourage employee future Impacts of downsizing essay in the organization.
He found negative changes in work are associated with the declining support from aspouse, and increased prevalence of smoking.
What you can read next. However, in order for downsizing to be an effective organizational strategy, leaders must be open to communication while leading during and after the downsizing process to improve the organizations results.
That is, lower job satisfaction resulting from a greater impact of restructuring led to decreased job security.An essay or paper on What is the Impact of Downsizing?.
ABSTRACT: What is the impact of downsizing? As the studies below indicate, layoffs have a number of negative effects not only on workers in different industries, but also on their communities and the market as a whole. Although it has been said that downsizing can be economically beneficial to compa.
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Downsizing of Gm Essay. Words Apr 22nd, This in turn greatly impacts employees on a daily basis, leaving them with feelings of uncertainty as to who will be next. Downsizing Essay. Downsizing- modern cost cutting art Abstract Though generally referring to an overall reduction in the size of a firm’s work force, downsizing is a.
The Leadership Challenges. Buy custom essay from per page or use for FREE. The Leadership Challenges. Buy custom essay from per page or use for FREE. Support Live Chat. The impacts of downsizing may not be manageable under traditional organizational leadership approaches; therefore, situational leadership is significantly.
The Impact Of Downsizing And Redundancies Management Essay. Print Reference this. Disclaimer: Downsizing & its effects on the Psychological contract & Survivor Commitment. For example, job satisfaction often precedes commitment, which in turn impacts employees¿½ turnover intentions.
Perhaps, a more complex model depicting a different. This essay will discuss whether the managers nowadays have the tendency to focus on economic results at the expense of more important things or not, and yes, the managers have the tendency to focus on the expense of more important things, the discussion will be demonstrated from the following concepts: contemporary management challenges.Download