Question 1

The research evidence suggests that downsizing creates job insecurity,which is strongly associated with low levels of safety motivation.

Accepted Answer

Research has shown a strong link between downsizing and job insecurity, which in turn leads to lower levels of safety motivation among employees.

Question 2

Asking employees to take voluntary sabbaticals is one medium-term solution to avoid downsizing.

Accepted Answer

Asking employees to take voluntary sabbaticals can be a medium-term solution to avoid downsizing as it allows the company to reduce costs while retaining its workforce. Sabbaticals give the employees an opportunity to take a break from work and explore new interests while giving the company some much-needed relief from payroll expenses.

Question 3

Negative consequences of downsizing might be minimized with greater communication and employee participation.

Accepted Answer

When companies communicate openly and involve employees in decision-making processes regarding downsizing, employees feel more ownership and control over the situation. This can reduce negative consequences such as decreased morale, increased stress, and reduced productivity.

Question 4

A workforce reduction strategy is to cut the number of employees through attrition,early retirement,or voluntary severance packages.

Accepted Answer

A workforce reduction strategy can include cutting the number of employees through attrition, early retirement, or voluntary severance packages. This approach is often considered less disruptive and more humane than layoffs or termination.

Question 5

Downsizing is a set of activities undertaken to improve organizational efficiency,productivity,and/or competitiveness that affect the size of the firm's workforce,its costs,and its work processes.

Accepted Answer

Downsizing typically involves reducing the size of a company's workforce in order to cut costs or improve efficiency, among other things. It can also involve changing work processes or restructuring the organization in other ways to achieve these goals.

Question 6

In examining the downsizing decision it is necessary to focus on outplacement issues.

Accepted Answer

The answer of In examining the downsizing decision it is...

Question 7

Research evidence indicates that downsizing creates job insecurity and low job satisfaction,which are related to greater safety compliance because employees do not wish to be hurt on the job.

Accepted Answer

Research evidence suggests that downsizing creates job insecurity and low job satisfaction, which can lead to decreased safety compliance. Employees feeling insecure or unsatisfied may be less engaged and attentive, potentially increasing the risk of accidents or non-compliance with safety protocols.

Question 8

Downsizing can be linked to less innovation and more protection of one's turf.

Accepted Answer

Downsizing often leads to a sense of job insecurity and competition among employees, which can result in a focus on protecting one's own job and responsibilities rather than taking risks and innovating. Additionally, downsizing can lead to a loss of valuable employees and a decrease in resources, both of which can impact a company's ability to innovate.

Question 9

Laying off employees is a quick,but temporary,option for workforce reduction.

Accepted Answer

Laying off employees may provide temporary relief for reducing the workforce, but it is not a long-term solution and may not address the underlying issues causing the need for reduction.

Question 10

Distributive justice refers to the rules used to determine which employees will be downsized.

Accepted Answer

Distributive justice refers to the fair distribution of benefits and burdens in society or within an organization, but it does not specifically refer to downsizing decisions.

Question 11

Downsizing can be a costly strategy for organizations to pursue,and,as a result,it is desirable to investigate whether alternatives to downsizing exist.

Accepted Answer

The statement is true as downsizing can involve expenses such as severance pay, rehiring costs, and decreased morale/productivity. Therefore, it is beneficial for organizations to consider other alternatives to downsizing.

Question 12

When rationalizing decisions about downsizing,many managers will rely on economic,accounting,and revenue-based rationales.

Accepted Answer

Many managers prioritize financial considerations when making decisions about downsizing, including economic factors like cost savings, accounting metrics like profitability and efficiency, and revenue-based rationales like focusing on core competencies and markets.

Question 13

Many downsizing efforts fall short of meeting organizational objectives,and are carried out with little strategic planning or consideration of the costs to the individuals and the employer.

Accepted Answer

Downsizing efforts often focus solely on reducing the number of employees without considering the impact on the organization as a whole or the individuals affected. This can lead to a failure to meet objectives or even negative consequences for the employer and employees.

Question 14

One issue that has received little attention is the effect of downsizing on the organization's reputation for corporate social responsibility.

Accepted Answer

The answer of One issue that has received little attention...

Question 15

A downsizing strategy is a short-term strategy to cut the number of employees through attrition,early retirement or voluntary severance packages,and layoffs or terminations.

Accepted Answer

The answer of A downsizing strategy is a short-term strategy...

Question 16

In today's workplaces downsizing is a proactive strategy that gives priority to worker health over increasing organizational performance.

Accepted Answer

Downsizing is a strategy that is typically used to increase organizational performance, often with the goal of reducing costs or improving efficiency. While the impact on worker health is an important consideration, it is not usually the primary focus of downsizing efforts.

Question 17

Employees who face challenges adapting to major change are more likely to engage in unethical behaviour in the workplace

Accepted Answer

Research has shown that when employees struggle with adapting to major change, they may experience a sense of loss of control or identity, leading to feelings of anxiety and stress. This can result in increased levels of unethical behavior as they may feel a need to take control of a situation or protect themselves. Therefore, employees who face challenges adapting to major change are more likely to engage in unethical behavior in the workplace.

Question 18

There is a movement by organizations to protect a core of employees and surround that with a periphery of less permanent employees.

Accepted Answer

This is known as the "core-periphery" model and is becoming increasingly common in modern organizations as a way to balance flexibility and stability in their workforce.

Question 19

A workforce reduction strategy is to cut the number of employees through layoffs and terminations.

Accepted Answer

This is correct. A workforce reduction strategy involves reducing the number of employees, typically through layoffs and terminations.

Question 20

The labour force participation rate is the highest it has been in the past decade and there is particular concern that many individuals are staying in the workforce.

Accepted Answer

The labor force participation rate fluctuates over time due to various economic, social, and demographic factors, and it has not consistently been at its highest in the past decade. Additionally, concerns about individuals staying in the workforce often relate to broader economic conditions and demographic trends, such as aging populations, rather than the participation rate being at a historical high.

Quiz 10: Downsizing and Restructuring