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10 - The stress outcomes of downsizing

Published online by Cambridge University Press:  05 July 2014

M. Blake Hargrove
Affiliation:
University of Texas, Arlington
Cary L. Cooper
Affiliation:
Lancaster University Management School
James Campbell Quick
Affiliation:
University of Texas, Arlington and Lancaster University Management School
Cary L. Cooper
Affiliation:
Lancaster University
Alankrita Pandey
Affiliation:
University of Texas, Arlington
James Campbell Quick
Affiliation:
University of Texas, Arlington
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Summary

Introduction

Too many managers and scholars alike may overlook post-downsizing. There are important considerations in the aftermath of a downsizing event, some of which very much need to be anticipated as the downsizing process begins. These considerations include:

  • effects on the organization,

  • outcome goals (e.g., surviving versus revitalizing), and

  • effects on individuals.

A key question here is: what are the impacts a downsizing climate has on people and their relationship to work? The primary concern of this chapter is the human side of the business and the effects of downsizing on individuals. There are five groups of individuals that are impacted by the downsizing process. These are:

  • employees and managers who are downsized and lose their positions as a result (primary casualties);

  • employees who survive the downsizing and remain within the organization (secondary casualties but survivors);

  • managers who orchestrate and execute the downsizing event (secondary casualties but survivors);

  • spouses, family members, and loved ones who have personal, intimate relationships with those who are let go in the downsizing process as well as those employees and managers who remain (secondary casualties);

  • external spectators, care givers, and community members who are witness to the downsizing event and may either have direct or indirect contact with any or all of the above-mentioned groups (tertiary casualties).

Type
Chapter
Information
Downsizing
Is Less Still More?
, pp. 293 - 325
Publisher: Cambridge University Press
Print publication year: 2012

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