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Fast To Get Rid Of 148 Workers

When times are tough, a person’s got to save money; some people sell their stuff, others crash on friends’ couches.  Fast Search & Transfer plans to fire 148 employees, or about 20 percent of the company’s workforce.

Downsizing in OrganisationsThe Real Truth

I've met and worked with many people in all sectors of the business world and found that the majority of managers and team leaders are spending too much of their time on basic administrative tasks. Tasks for which they have had no training in. In many instances people are stressed out with too many responsibilities due to ongoing restructuring and downsizing in their organisation.

Downsizing Lessons Learned

Since the 1980s, about 10 million jobs have been eliminated and the downsizing trend continues as organizations hope to cut costs and improve performance. Yet, research has shown that most of the anticipated economic and organizational benefits of downsizing are not achieved. Downsizing is a chaotic and uncertain experience at best. Unfortunately, there are few guidelines on the best way to achieve the desired results. Below are a few things that we have learned about downsizing:

Downsizing: Who Is The Real Loser?

Studies reflect fewer than 30 percent of downsizing efforts have achieved anticipated profitability. This statistic suggests the real downsizing losers are organizations and stockholders. Similarly, the low unemployment figures reflect that downsized workers are no longer helpless victims. Many organizations are downsizing in one area while ramping up hiring in other areas. This decrease and expansion procedure has been coined as employee churning and this practice contributes to financial losses. The good news is every market imbalance finds ways to correct itself, and modifying strategies during downsizing can increase the statistics of profitability and organizational success.