Do We Have to Cut Jobs to Reduce Costs?
Some companies are trying
unusual tactics to downsize their workforce without the drastic job cuts that
result in “survivor” syndrome for the remaining employees. Vermont’s Rhino
Foods, maker of the cookie dough for Ben and Jerry’s ice cream, sent 15 factory
workers to a nearby lip balm factory to help with the holiday rush. The
employees were paid by Rhino, which then billed the factory for the hours
worked. Nucor Steel has cut time in the factory for its hourly employees. On
the days they are not in the factory, employees are paid their base salary to
perform maintenance work or to take classes. Luxury Retreats, a villa rental
agency, decided to help train existing staff to learn more skills by moving
employees from product development to sales areas rather than hiring new
employees. Ernst & Young gave 9,000 of its mainland China and Hong Kong
employees the opportunity to take one month of unpaid leave during the first
half of 2009. Almost 90 percent of the firm’s auditors agreed to take the
unpaid leave.
In an approximately a 750-word essay,
address the following:
Explain
why companies would put in the time and effort to develop alternative
strategies in order to avoid cutting jobs and laying off employees.
Considering
economic reasons as well as social responsibility, do you believe companies
should avoid layoffs at all costs? Explain your answer.
Discuss
if you believe job losses and layoffs can be beneficial for companies and
for employees.
State
your opinions about training and development. Do you believe it can help reduce or
eliminate the need for layoffs?

  

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