Chapter 22. Defining Staffing Reductions in a Strategic Context

As business and economic conditions fluctuate, companies sometimes find it necessary to reduce staffing levels. Organizations that are facing major downsizing (e.g., as a result of cost reduction efforts, mergers, or consolidations) are often tempted to look only at the near term when deciding which staff should be kept and which will be asked to leave. Decisions regarding the size (the number of positions to be eliminated), type (the kinds of jobs to be cut), location, and timing of the reduction are often made without regard to the company’s longer-term staffing needs. Often, these decisions are based on subjective criteria or somewhat arbitrary financial objectives, not staffing ...

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