Exam 6: Managing Employee Separations, Downsizing, and Outplacement

Additional Case 6.4 Organizers, Inc. has implemented new business technologies that require fewer employees. Paul, the firm's CEO, sees the need to eliminate some middle managers and institute work teams to eliminate ineffective or unnecessary work processes. He believes that such changes won't be costly to the business. Most of the middle managers have been with the company anywhere from 10-15 years but are a long way from retirement. One specific problem that Paul recognizes involves Zena, an upper-level manager. Zena has been coming to work late, missing deadlines on assignments, and refusing to complete an important assignment. Paul has warned Zena personally about the consequences for further actions and has even meted out several proscribed disciplinary actions against Zena. Her work habits have not improved, and Paul feels he may have to take further action. -Refer to Additional Case 6.4.By Paul's estimation,Organizers,Inc.most likely needs to do which of the following to improve efficiency?

Yao-Huan is reviewing the rate at which employees have been leaving his firm.He is reviewing the firm's turnover rate.

Recent studies have shown that 80% of voluntary separations are unavoidable.

Which of the following is a replacement cost associated with training new employees?

Which of the following requires employers to inform employees of impending layoffs?

Additional Case 6.1 Central Enterprises is suffering an economic downturn, and the workforce needs to be reduced. Upper-level managers are debating the costs and benefits of various employee separations. Brian argues that the company needs to make immediate cuts to both management and labor. The cuts need to be made in such a way that the scope of the company and its markets are not affected. The firm needs to do more with fewer people according to Brian. Other managers want to take a long-term, less traumatic approach. According to Natalie, the firm has time to consider the problems and gradually reduce the workforce rather than making sudden staff cuts. Natalie points out that 35% of the workforce is over age 62. The VP of HR, LaTisha, wants the least disruptive reduction process possible. LaTisha just finished a major labor negotiation with the union and is not ready for another. She points out that turnover has been fairly high. Along with considering workforce reductions, LaTisha wants to know why people are leaving the company voluntarily -Refer to Additional Case 6.1.To answer LaTisha's question about why people are leaving,the company should most likely institute:

Rightsizing is synonymous with downsizing.

Which of the following actions by an HR manager would most likely improve the morale of layoff survivors?

Additional Case 6.1 Central Enterprises is suffering an economic downturn, and the workforce needs to be reduced. Upper-level managers are debating the costs and benefits of various employee separations. Brian argues that the company needs to make immediate cuts to both management and labor. The cuts need to be made in such a way that the scope of the company and its markets are not affected. The firm needs to do more with fewer people according to Brian. Other managers want to take a long-term, less traumatic approach. According to Natalie, the firm has time to consider the problems and gradually reduce the workforce rather than making sudden staff cuts. Natalie points out that 35% of the workforce is over age 62. The VP of HR, LaTisha, wants the least disruptive reduction process possible. LaTisha just finished a major labor negotiation with the union and is not ready for another. She points out that turnover has been fairly high. Along with considering workforce reductions, LaTisha wants to know why people are leaving the company voluntarily. -Refer to Additional Case 6.1.Which of the following layoff alternatives would LaTisha most likely support?

York Enterprises is a unionized firm on the verge of conducting layoffs.Which of the following factors is most likely the primary determinant in layoff decisions?

Companies provide outplacement to terminated workers for a number of reasons,such as:

According to the WARN Act,which of the following must provide warning of an impending layoff?

The major difference between downsizing and rightsizing is that:

The costs to replace a departing employee primarily include: recruitment,selection,and long-term health care benefits.

The process of reorganizing a company's employees to improve their efficiency is referred to as ________.

Which of the following is most common among survivors of a layoff?

Basing a layoff on performance can be a legal hazard for an employer if the employee's performance has not been well documented over a period of time.

Resignations and retirements are examples of:

Anita,an HR manager,has been asked to design a job-search assistance program as part of her employer's outplacement services.Which of the following skills would LEAST likely be addressed in the program?

Farley Enterprises wants to reduce its labor costs in the LEAST disruptive method that is available.Which of the following is most appropriate?