MAKING TOUGH (BUT SMART) DECISIONS IN AN ECONOMIC DOWNTURN - Sponsored Whitepaper

By: Shafiq Lokhandwala CEO- NuView Systems

The statistics are staggering. Total U.S. job losses of 600,000 in January, followed by 651,000 jobs lost in February. As the economy continues its downward spiral, the employment market still hasn't seen the end to job shedding yet. Unemployment peaks after the economy has reached its bottom - not before. Unfortunately, companies will need to continue to downsize and the unemployment rate is predicted to rise close to 9 percent by August of 2009 or even sooner. With such somber news, how will Human Resource Departments be able to make well-thought out decisions on reduction in force?

With the economy in turmoil, many companies make rash decisions to cut numbers and stop any financial bleeding. Typically with such pressure from the market, companies end up making drastic, rushed reductions rather than strategic decisions. Without the luxury of time, and with extreme emotional, social and financial pressures, there is a grave risk that decisions will be made too quickly, harming the company in the long term, impacting the ability to capitalize when an economic recovery occurs.

How do companies make the best moves on reduction in force, where do they get the data to make smart decisions and how can they make good choices that won't have a long-term impact?

Relying on critical data from HR Technology