Ethics of Corporate Downsizing
Entrepreneurs need to prepare properly in order to excel in business field. There are many issues that have been affecting the business field. Corporate downsizing is one issue that many aspiring business personnel should keep in mind always. Corporate downsizing is the act of diminishing or reducing the number of workers in a company in a very short period of time.
Corporate downsizing occurs chiefly due to poor economic conditions and so for a company to stabilize its situations; it has to cut the number of available jobs. This helps maintain lower costs or profitability. Downsizing is not a new issue in the world. It has a long and complex history in the business market. Downsizing may occur when one company acquires or merges with another company. From the ethics of corporate downsizing, it all results in layoffs that are usually followed by suitable restricting changes such as departmental consolidation branch closing and other efficient strategies of cutting pay expenses.
It is ethical to make something difficult easy to bear. Downsizing is a layoff that companies should not shy away, but there are ethic things to be considerate on. Looking at ethical issues is one thing that requires experience and sober minds. When it comes to ethics of corporate downsizing, caution is essential as we are dealing with rights and welfare of many other people in the society. It does not matter how strong the justifications for reducing workforce will be or may seem to be. Cutting off productive and loyal employee is a serious issue. Corporates should always be run by experienced personnel who know how to handle such situations. Managers should not inflict financial injuries to their workers. Psychology damage can affect lives of many workers if the proper ethics for corporate downsizing are not employed.
For many people in the world, the workplace is not just a place for work, it is a place where it is easy to develop and maintain most of the relationships experienced globally. Downsizing has legal repercussions and it is understandable that companies want to minimize liability. There are economic matters to consider. Downsizing is an ethical matter and the people in-charge and responsible for protecting the company’s financial interest should also consider and honor integrity and dignity of the workers. These are the lifeblood of every corporation.
To excel in the corporate world, downsizing should be down in the most appropriate ways. The best way to do it is by doing it in person. This is applicable for managers and any other person in such positions. As a manager is better to terminate an employment in person and show respect for others. Secondly, you have to do it privately. It is easy to honor other people by respecting their wishes and values. It is also ethical to give another person full attention, any interruptions will cause a lot of complications. In the corporate world honesty, concentration and respect are crucial ethical traits to hold. The bottom line is that, human decency is essential to excel in the business world regardless of the situation you are in as a company.
Here at Premium Essays, we guarantee our clients on-time delivery, plagiarized free and affordable samples. Therefore, feel free to order a sample essay on ethics of corporate downsizing on 24/7 basis.