Any small and large business will once face a crisis. In some cases, the only way out may be to reduce the number of employees. Therefore, other ways can help the organization cope with difficult times, such as outsourcing or freezing additional payments. However, if it is impossible to avoid a reduction, it is necessary to choose with seriousness and deliberation which employees should leave their workplace.
The first solution that can replace the reduction of staff may be the use of outsourcing. Performing non-core tasks often take much time for both the management team and employees and requires significant financial investments. Contacting outsourcers helps relieve employees and not waste time looking for good specialists (Somjai, 2017). In addition, outsourcers are professionals in their field, and it helps to reduce additional costs. A local act must make out partial or complete termination of the payment of bonuses for the company. In this situation, employees should know that this decision was made in connection with a difficult situation and that bonuses were lost not only to them but also to other employees and management. Another problem, in this case, maybe a decrease in the efficiency of employees since they will lose motivation to achieve results. That is why the manager should tell them how long the anti-crisis measures will last.
Even highly qualified employees are not immune from staff reduction at work. The employer determines the pre-emptive rights, and a specific algorithm is provided for this. First, all candidates for dismissal exclude employees whom the law prohibits from reducing: pregnant women, single mothers, or mothers with disabled children. The remaining employees are evaluated according to their skill levels and labor productivity. The comparison is made between employees who hold the same positions created within the same structural unit. If the comparison revealed the same skill levels and labor productivity, then family circumstances and other advantages are considered when reducing the employee.
In conclusion, it is necessary to say that staff reduction is not a rare phenomenon in the difficult economic situation in the country. However, in certain situations, the employer may look for options that can avoid drastic actions. So, employers can resort to outsourcing TLT to reduce unnecessary costs for employees, with a mutual understanding of the reasons for this. However, if it is necessary to reduce the number of employees, the organization’s head should consider several critical criteria for employee dismissal.
Reference
Somjai, S. (2017). Advantages and disadvantages of outsourcing. The Business and Management Review, 9(1), 157-160.