The current round of downsizing by employ
ers is not achieving desired results, with em
ployee morale, motivation and productivity
diving after most retrenchment programs, ac
cording to research from Drake International.
The research found that 40 per cent of re
maining staff became less motivated after their
employer downsized and 41 per cent said that
their respect for their employer had declined.
Findings also revealed that 46 per cent
of remaining employees were less likely to
recommend their employer to a colleague
seeking a job.
The research found that employers are
doing themselves long-term damage by not
managing downsizing effectively, according
to Drake strategic manager David Edwards.
Downsizing should be an opportunity to
improve productivity and reduce waste, and
not just a cost-cutting exercise, he said. “Or
ganisational restructure should be about work
ing smarter by changing processes and re
designing job roles, the survey reveals,
however, that most employers expected to
achieve downsizing benefits by asking staff
to work harder,” he said.
The survey, which took in more than 6300
employees and managers who have expe
rienced downsizing in their organisations,
found that although many employers were
changing processes and job roles, pro
ductivity increased in only 21 per cent of