Causes and Impact of Lay off in Multi National Companies.

lay offs in mnc

SOME HARD FACTS:

 

Employee downsizing has become a fact in the modern time and more in recent years. It causes a ripple effect in an organization and affects the smooth functioning and team spirit in a big way. It is a single dominant factor in any company resulting in a major challenge. They can disillusion best employees who in turn leave the company.

 

STREAMLINE TALENT:

 

When the talent is available, and there is best worker productivity, in the world, layoff should never be seen as an alternative to work. The older workers are a great asset, and the company must not be biased against them. They are paid more and their productivity is also greater than younger workers.

 

The subject of downsizing, restructuring, has several adverse impacts as it is never done in a responsible manner after carefully understanding the pros and cons. It is logically important to understand the impact caused by it.

 

The only point going in its favor is that company has a new business model or strategy in mind and hence there is a layoff. If done correctly it can have a long-term plus.

 

REASONING:

 

One of the reasons cited is that the company needs to save money on payroll and other benefits. They need to pay severance pay to outgoing employees, pay overtime wages to exist employees and also use temporary help. When a company removes its employees, it sends out a clear message to the customers, that all is not well, and that it is facing some crisis.

 

WHAT MUST EMPLOYEES DO?

 

As far as the employees are concerned when there is a positive mindset, and a will to persevere, there is an attitude in the grim fact of lay-off.

 

WHY DID THEY HAPPEN?

 

Layoffs happen owing to several factors but the major one is that the company no longer has the resources to support itself. The management resorts to narcissistic and Machiavellian approach which is not in the interest of the employees. There is a need to fix the system which is centered on short-term results. The process of lay off needs to be checked and eradicated as it is destroying the IT industry and is dashing the dreams. Facing tough challenges and odds will make a great difference in life.  The remaining employees suffer in an emotional manner as the status quo is disrupted.

 

ADD TO YOUR SKILL SET- GO FOR AUTOMATION:

 

From the staff point of view it is always found that they do not update their skills and never opt for automation. Adding skills has its own benefits, and it will be wise if the staff come out with a fixed plan, to update their skill set, and go for automation. Today, keeping pace with the times is of utmost importance and will be welcome by any company or establishment.

 

HOW TO SECURE A JOB:

 

In order to secure your jobs, you must update with new skills and the desired new skills are as follows,

Project Management, Technical Support, Data Scientist, Machine Learning, UI/UX Designers, Mobile Application Development and Cyber Security. For more information check this link Best IT Jobs 2017.

 

FIND TALENT/PASSION:

 

The first skill begins with finding the passion or talent, and then determining if that talent can be nurtured by experience and thrust of the personality to thrive in the position.

 

BE FIERCELY COMPETITIVE:

 

Competition for technical talent is fierce today and one has to be fiercely competitive in the chosen sphere.

 

WHAT IS IN STORE FOR ALL:

 

To conclude, the companies need to be asked the question if this is a short-term crisis or whether the business needs to undergo fundamental structural changes and have new plans and strategies. It can be hoped that the epidemic will also have a remedy in the future and the issue will be resolved amicably.

 

       

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