Layoffs – what are layoffs mean?
Layoffs mean the term used when an organisation asks few of its employees or all of its employees to put down the papers to quit the company. Generally, this happens when the organisation is doing restructuring of its organisational structure or on the aspect of cutting down the operational cost of the company.
Are layoffs necessary?
Yeah, layoffs are necessary due to the fact to keep the company afloat in adverse situations and during the global economic slowdown. following are a few of the reasons to layoff the companies employees
A). When the global economy is not doing good,
B). Due to the restructuring of the organisation
C). When certain operations are no more relevant
D). Not making enough profits
E). Technology taking over human resources
A). When the global economy is not doing good
Layoffs are a mandatory procedure to be carried out by the organisation when the global economy is not doing so good when there is a recession, the global economy may not be doing good. That effect of global recession falls on every company and it impacts the operational and Organisational structure. To survive the global recession and the slowdown of the economy the companies has to make hard and tough decisions. As part of the survival plans the companies will make necessary changes to the organisational structure to ensure that the company survives the bad phase of its existence and to ensure that the company is afloat and alive and to move ahead in the long run.
Apart from cutting down the operational cost from all the departments and making sure that their employees not spending too much on the travel plans or on any other extra expenditure where there will be an opportunity to cut down on the cost. Even though the companies take precautionary measures in cutting down the cost without affecting their morale of the employees, but in certain situations demands that the company has to go the extra bit and serve notices to few of their employees and talk to them about their noticeperiod as well to cut down on their expenditure and the operational cost.
We should not look at this through the microscopic prism, because it’s always wise to make certain hard decisions in the interest of the company and in the interest of the larger benefit of the employees and for the longer survival of the company. If the company survives this bad phase, it creates many more employment opportunities in the long run. So a little bit of hard and tough decision is good to go with for the benefit of creating more and more jobs. There are many examples of such companies where they have taken some tough decisions during the bad phases and they came out successfully out of that recession periods and created enough number of jobs for the community.
B). Due to the restructuring of the organisation
The smooth functioning of the organisation depends on the structure of the organisation. The structure of the organisation has been an evolutionary process and it has been developed and established over a period of time with their proven experience and expertise. In this process there needs to be a lot of changes to be taken care of while restructuring the organisation, Sometimes it may be the addition of new departments in the organisation and at times removal of redundant departments or processes in the organisation.
While the changes are faster with the advancement of innovations, organisations need to adapt to the changes and deliver the Expectations of the market. The differential behaviour pattern of the markets calls for the restructuring of their organisations. In doing so, not everything fits the bill and will need to remove the less productive resources.
it is imperative to state that technology has been changing the game Of business and its expansion. while doing so Many redundant tasks which has been handled by humans intervention has been replaced by the advancement it of the technology for faster and accurate outcomes. The faster the business process and client relations which enhances better business potential, growth and expansion. in this process, since the humans have been replaced by technology there needs to be less requirement of human intervention and it is necessary for the organisation to find alternative employment Opportunity for those whose tasks have been replaced by technology. for those employees who cannot be fit into the alternative jobs will be asked to look for better opportunities by providing sufficient compensation and notice period for them to quit from their existing jobs in the current company and we call it as layoffs
At times the organisations might remove a few of the departments due to the physical, economic and market Behaviour changes. A Department existence may not be relevant to the market dynamics and the companies are forced to adapt to the changes. This results in few of the Existing employees to be laid off.
C). When certain operations are no more relevant
A decade after decade business dynamics is fast changing and the approach towards business is getting Quicker, better and Easier. The business organisation which has been handling operation for the last few decades are getting excellent with the current dynamic and advanced trends. The style of the operation is also getting changed quite frequently, which was not the case earlier. Due to these advancements in operation and executions, few of the operations are getting obsolete and has to be moved away from the process this results in Laying off of the staff who has been an integral part of the organisation growth, Where these staff services are no more relevant to the operations of the current market opportunity and the companies or forced to enforce layoff for these dedicated staff.
D). Not making enough profits
Old-style business houses who have been doing business in their traditional approach find it difficult to adapt to the changes or it may be a mindset of those business leaders not to adapt to the changes result in negative growth of the company and they find themselves in a spot where they cannot continue further. The available options for these great business leaders who have been running the company for years is to sell the company or close the company. There are live proof examples where the businesses are close down the business for not replying to the dynamic changes of the market who has been running the business for quite a long time. since the profits have been shrunk and it is no longer viable to run a business they have to lay off employees and close the business
New-age business leaders with all the knowledge in their brains in trying to adapt and capture the market share spend a lot on customer acquisition which eventually turns out to be a failed business model. spending a lot of money and not making profits will not survive for long. capturing market share should have a proportionate amount of spends and some profits which are equivalent to the market spending in acquiring a customer.
Best of the brains does mistakes in understanding the market potential and business opportunity and end up in losing a lot of money ultimately result in the closure of the business. All the employees of these business houses have to look for alternative opportunities due to the poor planning and lack of execution of the business plans and everybody will be laid off from the organisation
E). Technology taking over human resources
Make employees comfortable at any given point of timeJMR
New technology is overtaking old Technology, This is the norm of the technology. Technological advancement has been overtaking human behaviour patterns thus resulting in less human intervention and more technological process. The world is full of Technology and technological advancements and innovations. The human race is getting better and better with the advancement of technology and its applications on our day to day life. Technology is part of every business process nowadays and all the business are adept at adapting the innovative technological advancement in their business process. With the revolution of Technology in our everyday life and the business processes, the need for human resources is getting lesser and lesser day by day.
Businesses are increasingly adopting the new age Technologies thereby reducing the need for hiring humans and saving costs.
How to avoid layoffs in companies and can we avoid layoffs?
The answer is yes you can avoid layoffs. The vision of any business house is to ensure that the business moves ahead and the functioning of the business happens without any disruptions irrespective of the technological advancements happening globally.
A visionary businessman looks ahead and identifies the changes happening around the globe with a vision to implement the same in their respective businesses. To do so there needs to be well-planned execution of the business process with a clean vision keeping the interests of the employees of the organisation and the growth potential of the technological advancements happening around the globe. Once they know the road ahead, they are well prepared to train the employees in their respective fields of the technological advancements which can be used by providing the right training and enhancing the skills of the employees. once the employees have been trained in the latest skills they will be handling Everyday operations with ease since they know how to use the advancement in technology for the benefit of the organisation and for their personal growth.
A layoff can also be avoided by identifying the potential market opportunities around the globe and distributing a few of the employees from the current location to the new market potential locations. This way we are expanding the business as well as making a way for the business growth by avoiding layoffs and by making better profits.
Getting a skilled human resource is a challenging factor for the business houses and if the business houses ensure that the resources have been reskilled, recycled and retrained there is a huge potential for the company to replace this resources without any disturbances in the structure of their organisation. Companies have to plan well in advance by anticipating the changes happening around their market segments and ensure that the resources have been efficiently enabled to handle the foreseen and unforeseen situations
No company has to face the situation of laying off their own employees if they plan meticulously and execute things provenly in keeping the market dynamics and trends.
Layoffs in India
India ranks second in the most populated country in the world. India has the potential for business growth. Major multinational companies are always looking for an opportunity to set up their operations in India because of its vast market potential. However, not all companies will succeed in setting up operations in India and few companies need to change their operating procedures. This operation calls for the layoffs in Indian companies operated and subsequently restructure and reorganize the operation as per the needs of their demands and market potential and dynamics.
Layoffs in India are common when there is a structural change in implementation and in the business plans. every layoff in Indian companies has been frequently compensated by the business promoters to take care of the subsequent needs of the employees. No company or no employee has been left out without adequate compensation. This gives Ample time for the employees and for the companies to set right the things to plan for the future course of action.
notice period dot com is a company where it helps the employees to choose the right job When the layoff in India and The layoffs in IT happens. This is a platform for those employees who can join immediately in other Companies when they are laid off.
Layoffs in IT
IT sector is the most hit when the recession occurs, a layoff in IT is driven more often by the phenomena of an economic slowdown. Economic slowdown vastly impacts the Information Technology Sector around the globe. This is the time when employees of the well paid white-collar job companies get anxious due to the fear factor of layoffs. companies do research of the main economic slowdown and draw a plan to come out of the recession by the decision by removing a few of the employees where the companies can move ahead without the presence of those employees and look for a suitable pick up of the employees to remove from the organisation with adequate compensation.
Few Companies do the process of Layoff research annually with their organisation structure to bring in total enablement of integration and updation and to be in sink with the continuous industrial changes by constant monitoring of the Global growth phenomena with their respective peers. such companies are Always At The forefront of innovation and well ahead of their competitors in the highly competitive market scenario due to the latest adoption and innovations into their operations
How to prepare for a layoff scenario
knowing fully well that some point or the other the company is sending the signals to the employees that there will be layoff happening very soon, its indication for the employees to prepare for the unpleasant situation which is coming towards them. Once you know that such situations are unavoidable, stay calm and accept the situation as it is since there is nothing much what you can do to avoid such a situation.
Once you know the compensation benefits of the layoffs, plan well to survive until you get a new job. Hold on to your guts and be confident in your experience what you possess and prepare well for the subsequent job search. The best thing to happen for you at this point of time is that there is always an opportunity for you to look for a better opportunity to enhance your skills which eventually helps you for your career growth economically and technically. This also is an opportunity for you to shift your career in case if you wish to do so. We need to be positive in such a situation and think positive and move ahead positively. no point in cribbing about the existing situation of the companies layoffs.
Since you have adequate time to brush up your skills and enhance your career prospects prepare well for yourself and to handle the upcoming interviews. Emphasize that you have been laid off and you are available immediately for any kind of job opening that suits your skills and experience. This open message of yours sends a strong signal to the recruiters that you can be hired pretty fast. There are always companies and opportunities that are looking for talent who can be hired soon. The most interesting part of a company or a recruiter is to hire talent at the earliest possible time. You fit the bill perfectly and you have better chances of getting hired into the most relevant openings.
How to avoid layoff of an employee and can an employee avoid layoffs?
The answer is yes most probably. while companies do research and Analysis on the layoff plans The First Target would be to remove the unwanted, high cost and less utilised resources. Considering this factor as the base parameter, every employee has to justify their presence and cost to the company. Failing to do so will attract the notice of the management to your profile. Make it a point to show your Importance and your need for the organisation.
Always highlight your work and show your achievements to your peers and Management. Management should feel the presence of your need within the departments you are working And always keep track of your testimonial from clients and from whichever department you are interacting and working with.
Maintain a cordial and friendly relationship with all your colleague and Well-wishers within the organisation. Attitude plays a key role in any organisation for your career growth. It also plays a vital role in deciding the situations like this, irrespective of your performance. Good attitude of an employee is definitely a consideration Point while hiring as well. So wishing all the employees to carry forward their best of the attitude always which is a cheerful factor for the companies as well
Sometime punctuality and disciplined approach to systems and among your network will help you in saving your job even though You may not be the best of the performer and sharp-minded employee. performance always will not help you in retaining your job, The overall approach of yourself in handling your tasks and meeting people and carrying off yourself graciously will help you in retaining your job. In short, irrespective of your excellent performance, good relations with the management and also among your team members will definitely help you to move forward from the unwanted situation like layoffs.
3 Thumb Rules to follow to avoid layoffs
There are three thumb rules to follow max to avoid layoffs
A. Do your job, but don’t think that only you are doing this job
B. Avoid thinking that only you can do this job.
C. Don’t think that the results are due to your efforts only.
By following the above thumb rules you will be creating a wonderful atmosphere of work environment setting high standards of expectations among your teammates or groups.
The results of the thumb rules follow you automatically and you will become the star performer of your department and you will become a blue-eyed employee where the management thinks twice to lay you off.
There are live examples of employees with good relations in the organisation generally never face heartbreaking situations, that does not mean that only relations help in retaining a job without performance and productivity. performance and productivity are the core factors in retaining a job
Layoffs pros and cons for employees
It is a boon to those employees who are actively looking for a job change and wish to move from the current company Where you have been asked to quit. The advantage is that you need not serve the notice period and wait for the relieving orders from the current company. apart from the above-mentioned advantage, you are also getting paid well for the layoffs as compensation, that means its double advantage for you.
It is a heartbreak for those of you who love the company the most and has been working with the company passionately and lovingly. It’s also a tough time for those who have not have any ambitions of moving away from the current company and or quite comfortable with the current work and culture of your existing organisation. nevertheless, you need to accept companies decision and move on. It is not really easy for those who wish to not to change the companies Quite often even though you get adequate compensation.
Layoffs are frequent guiding factors of an organisation and might get implemented at any given point of time based on the circumstances on which the company’s growth and operations depend. So be prepared for the adversities of a given company and keep fine-tuning your skills to avoid any kind of future embarrassments. Always accept the layoffs as a potential growth factor in your career prospects.