Corporate Downsizing Assignment Help

Corporate downsizing is the reduction in number of HRs due to lower profitability. In recent period of recession that took place in 2008-2009, corporate downsizing strategy was increasingly used by firms to maintain their business. Major companies adopted downsizing to escape their business. Alcoa an aluminum maker firm downsized in its core business about 1/3. As per the company spokesperson, around 30,000 jobs were downsized for the survival of business (Ydstie, August 9, 2010). The downsizing was performed to attain short term benefits during recessionary period. According to the statistics case study assignment help experts, around 700,000 workers lost their jobs during recessionary period of 2009-2009 due to 25 companies. It can be said that this was the substantial downsizing by corporate in a recessionary period. Under pressure, General Motors cut 50,000 jobs in February 2009 that was almost 20% of its workforce to maintain its sales and finally the firm filed for Chapter 11 bankruptcy protection. In October 2008, Citigroup also cut 50, 000 jobs as a part of corporate downsizing strategy to maintain the sales ratio (McIntyre, August 18, 2010). In addition, HP also dismissed 24,600 redundant employees. Following later, the firm also cut 6000 jobs in 2009 and finally 9000 in its struggling enterprise as per the data.  Similarly, after feeling the pressure of price from Wal-Mart and Best Bay, Circuit City Stores shut down its stores and cut the 40000 jobs in 2009. Merrill Lynch also layoffs 30000 jobs in the end of 2008 after Bank of America took it over. In January 2009, Caterpillar cut down 20000 jobs to ensure alignment of revenues and sales. In 2009, Verizon Wireless downsized thousands of workers to maintain the cost. JP Morgan also adopted downsizing by cutting the redundant employees along with 9200 staff members in 2008 December. Furthermore, Starbucks also fired 6000 staff members in January 2009 to attain cost in line during recessionary period (McIntyre, August 18, 2010). AT&T also cut 12000 jobs in the end of 2008 as a part of its downsizing strategy to save the business.

Role of HR Downsizing Assignment Help HR played an active role in handling the grievances of employees and staff members during recessionary period. HR also treated the employees with dignity and respect (Cascio, December 24, 2010). They also handled the staff members with patients and avoided arguments. This helped the organizations to maintain the motivational level of the employees during recessionary period. HR also acted like a liaison between the management and employees during recession time. It can be argued that this role played by the HR of organization during tough times like economic downturn is essential to be continued to maintain the moral of workforce. HR also maintained a balance between motivation, attraction and retention of employees during downsizing. Internal re-structuring was also focused by the HR to improve the organizational efficiency. Like, HR had followed employer branding, performance pay and family friendly policies to handle the issues generated due to downsizing (HR in Recession: what are the prospects and priorities for HR management in 2009?).  HR also acted as a specialist expert to manage the downsizing impact over the workforce during recession. References Cascio, W.F. (December 24, 2010). If You Must Downsize, Do It Right. Retrieved from http://www.employmentpolicy.org/topic/21/research/if-you-must-downsize-do-it-right HR in Recession: what are the prospects and priorities for HR management in 2009? (n.d). Retrieved from http://www.employment-studies.co.uk/pdflibrary/op15.pdf McIntyre, D. (August 18, 2010). Retrieved from http://www.dailyfinance.com/2010/08/18/the-layoff-kings-the-25-companies-responsible-for-700-000-lost/ Ydstie, J. (August 9, 2010). Retrieved from http://www.npr.org/templates/story/story.php?storyId=129036823