Downsizing is the process of reducing an organization’s workforce or operations to cut costs, improve efficiency, or adapt to market conditions, often through layoffs or restructuring.
- What is downsizing?
Answer: It is the reduction of workforce or operations to cut costs or adapt. - What are the reasons for downsizing?
Answer: Reasons include financial difficulties, mergers, or technological changes. - What are the effects on employees?
Answer: It can cause job loss, stress, and reduced morale for remaining staff. - How can organizations manage downsizing?
Answer: They can offer severance, outplacement services, and clear communication. - What role does HR play in downsizing?
Answer: HR handles layoffs, legal compliance, and support for affected employees.
