Measures That Can Be Taken By Organization to Avoid Compulsory Essay

Measures That Can Be Taken By Organization to Avoid Compulsory Redundancy - Essay Example (Francis, 2001) At first, it is necessary to prepare a plan, reflecting strategy of carrying out redundancy, and the reasons for this measure. This plan is to be detailed and accurate and it should provide unity of managers' actions. Redundancy should not be selective or optional; it should be based on many objective factors, like skills or experience. Clear and objective criteria of selection demonstrate that the process is clear and all the employees have equal rights and position. (Burr, 1991) It is necessary to remember that such factor as past productivity of each employee is not objective. It may be regarded as beneficial for the company, but the result will be based upon appraisal of past performance that might have been carried out incorrectly throughout the company. (Ogden, 2004) It is known that the case of redundancy is one of the most painful events that may be experienced by the worker. Redundancy announcement inevitably affects his moral condition, work-related behavior, productivity and individual motivation. It is known Popular methods applied to avoid redundancy It is known that compulsory redundancy is one of possible measures taken in case business faces various problems. Of course, the company should observe and consider all measures that could resolve these problems, that could change business concept and that all causes of competitiveness loss were examined. "Failing to address workforce issues and driving the company into bankruptcy thus losing all jobs does not make sense". (Benyon, p. 14) There are some strategies that are regarded as the alternatives to compulsory redundancy. The specialists provide for the following list of these strategies: Natural wastage is non-hiring new workers in case old employees retire or leave the company, thus, reducing the number of employees. It can be effective where reductions are required across the entire workforce and over a prolonged period. Drawbacks include, the most able leave, attracting new talent causes resentment and turnover continues after achieving the desired workforce level. Stopping overtime - can be effective if it has become part of normal working practice. Drawbacks include, the differing impact on workforce groups and the subsequent difficulty in getting exceptional work requirements met. Early retirement measures - offer early retirement to volunteers. Drawbacks include the loss of some of the most experienced staff. Terminating temporary contracts - can be relatively quick to implement . Drawbacks can include insecurity for some workers, loss of supplier confidence and contractual penalties. Retraining or redeployment - this should always be explored in depth. It is more cost effective than compensation, recruitment and induction costs." Internal recruitment Recruitment freeze (Edwards, p. 50) Internal recruitment Internal recruitment is described as the situation "when a business recruits one of their current employees for another job within the business. For example, a person working on the cash desk of a shop might