Organizations are constantly challenged with increased market pressures and declining budgets. This is even more prevalent as we approach a slowing economy. In order to optimize staff efforts, tough decisions are required, potentially resulting in layoffs, elimination of benefits, reduced customer support, or closing facilities.
The result of this “more with less” philosophy ultimately causes increased stress on existing staffs. It tends to place more burden on the highest performers who remain from downsizing. Eventually, these performers become disenchanted with the organization, yielding reduced customer satisfaction and inevitable revenue reduction. Another downside of this decision is when valued employees give up on the company or organization and seek employment elsewhere.