Staying afloat is the objective of every company during these recession times.
Directly or indirectly, most of the companies were hit by recession.
The severe financial crunch is forcing companies, all over the world, to go for downsizing in every aspect.
Every company irrespective of the cash reserves and size is keeping the employee lay off option open, during these days.
This is really something, which is sad because there are no other options left at this stage except laying off precious and gifted human resources, who had served the company in its good times.
Most of the companies throughout the world are following different kinds of strategies while dealing with their employee force in these recession time.
This article lists out the most popular options companies have been following, so far, while taking decisions about their workforce.
The following are the popular options: 1.
Forced leave 2.
No increments/ small increments 3.
A percentage of CTC cutting 4.
Lay offs All the options are listed out in the ascending order.
If the company feels that it can adjust itself to the recession without paying its employees for a few weeks, then it is opting for Forced Leave for its employees.
During this time, depending up on the cash reserves, the company may pay part of the employee salary or ask employees to go on leave for a particular number of days without pay.
A few other companies, which can sustain themselves, are giving their employees either small increments or no increments at all.
Other companies which are so considerate about their employees are asking their high-level employees, who are in the ranks of CTO, CFO, CEO, etc, to reduce their CTC by a certain percentage during this crunchy period.
The last group of companies, which cannot manage themselves in these turbulent times, are asking their employees to leave i.
e.
, in other words they are laying off their employees in big numbers.
Big companies, which get their new recruits from talented organizations like IIT, IIM, etc, are deferring the joining dates of the new appointees.
A few others, who cannot sustain themselves, are canceling their earlier given Appointment Letters to these campus recruits.
Employees, particularly from IT and BPO sectors, are also not looking for new jobs during these recession times.
It seems they are very well satisfied with their present job including the salary and perquisites and are not in mood of jumping to other companies for their personal growth, which they used to do earlier quite often.
The employee attrition rates, which had been the main point of discussion during any Human Resource (HR) meeting, is no more a valid point of discussion.
The HR department of the companies is also not bothering themselves to stop any efficient candidate from leaving the company during these times; complete contrary to what they used to do in good old times.
In summary, both the employees and their respective companies are behaving so cautiously.
While employees are more conscious in retaining their jobs, same time, companies are searching ways to keep them afloat during these recession times, financially.