Skip to main content
Return to homepage
  • Free Trial
  • Free Trial
  • Plans
    • Plans for Individuals
    • Plans for Teams
    • Plans for Clients
    • Plans for Enterprise
  • Solutions
    • Self Educators
    • Small Business
    • Industry Associations
    • Accounting Firms
    • Franchise Groups
    • Finance Brokers
    • Corporations
    • Business Schools
  • More
    • About
    • Features
    • Experts
    • Blog
    • Media
    • Press
    • Contact
  • Support
  • Login
    • Watch
    • Admin

Home Definitions

What is Downsizing? Definition or Meaning

Posted by Bizversity

One of the options for businesses struggling financially is to reduce their task force or employees who work for them. Though an utterly difficult affair for both management and employees, the point of downsizing is to either lay off staff or reduce their pay in a bid to put the business on the right path financially or strategically.

For example…

Downsizing efforts need to be well thought out. It needs planning for both pre and post layoff for both employees and management. How much forward warning should the company give? What about severance pay and supporting them finding new jobs? Some companies, like Hewlett Packard implemented a creative way of getting finances back in order by asking employees to take one day of leave without pay each fortnight until its revenue increased.

Bizversity
Bizversity

  • Facebook
  • YouTube
  • Twitter
  • LinkedIn
  • Instagram

Our Mission is to grow the people that move the world forward. Because business people change things. They learn, they create, they build, they disrupt. And when they do, they influence the people around them and the world becomes a better place. So if you are an entrepreneur, business leader, executive or startup, and you want to grow, welcome to Bizversity.

  • About
  • Blog
  • Features
  • Tutorials
  • Media
  • Press
  • Careers
  • Definitions
  • Questions
  • Support
  • Contact

Copyright © 2023 Bizversity
  • Privacy Policy
  • Disclaimer
  • Terms of Service
  • Website Terms of Use