The company then merged and redundant departments were cut and continue to be cut. Nodding my head, surprising myself, as I read some of these articles, I did see the logic in what some downsizing proponents say. We often hear that organizations who are undertaking downsizing have no choice. Large companies like Hewlett-Packard have managed to survive lean times without layoffs when their workers came together and agreed to work fewer hours, agreed to forgo bonuses, and agreed to take pay cuts. More and more companies are looking at cutting capital equipment, supply, and building costs instead of resorting to downsizing staff.
Management uses layoffs to lower wages and make a quick profit.
If the president and CEO of my organization is so very afraid for the fate of this company, he'd get a lot more Pied Piper action going if he acted as an example to the rank and file. This cafeteria has lines for six cashiers to be working simultaneously, but since the cashier ranks have been reduced, we had instead one lone cashier. I looked at some of the visitors in the line and thought about some recent reading that discussed how downsizing can erode customer confidence. In their shoes, I certainly would see these hints of a badly run company and think twice about being their customer. When corporate culture becomes every disloyal, tired worker for themselves, the future of that organization is in peril.