Organizational Management and Down Sizing
In current situation PIA is in financial crises, PIA has loss of more than 42.6 billion. The government is tried to assign more and more people without any need, they are just doing for their party popularity, but this action may take them to uncontrollable dilemma.
Organizations that understand and combat the causes of survivor syndrome at an early stage have a far better chance of weathering the storm and moving forward after the period of unsettling change. Based on the previous studies, in the scope of this research, researcher would like to find out the impact of workforce downsizing to the behavior such as trust, commitment, and stress and job insecurity of Vietinbank’s staffs to see how they were affected by downsizing and which elements of fours will be the most impacted by downsizing. Through this research, researcher hopes to put some help for VietinBank managers in order to have a better understanding about their employees so that they can looking for an appropriate direction as well as specific plan to minimize the harmful impacted may arises from downsizing.
Hence, although having a job might be a great satisfaction for an individual, it is the issue of job security that might often worry him especially in the case unexpected organizational and economic conditions. Downsizing may occur in the case of a merger or especially during the time when a company needs to maximize its profit and performance by cutting on their overall cost. Despite the several ways in which this could be achieved, downsizing results in extreme stress, anxiety and fear amongst those who are being terminated and those who survive this crucial period. Families break, future distorts, illnesses increase and overall well being is affected by the truth of downsizing (Jamison, 2001)
In deed, lack of loyalty is higher in job categories that are more exposed to major downsizing. This can translate to lower productivity or even lose of valuable employees due to insecurity. Therefore, during downsizing, the organization management should formulate plans to motivate the stayers and restore employee trust and loyalty in the organization.
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