Management Employee Relations

Undergraduate
Essay
Miscellaneous
Pages 8 (2008 words)
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Managers need to deal with the employee’s issue very carefully and cautiously. Gone are the days when employers treated their employees as slaves. Human relationship management has seen tremendous changes in the recent…

Introduction

Globalization has brought sea change in the way companies operate and more specifically with regard to how companies treat their employees.
So, the world witnessed boom in various sectors with some sluggish period every now and then but the employees continued to enjoy their dream run with their jobs, and organizations until the recent recession. Yes, the recent global meltdown or in other words the recession has abruptly changed the employee, employer outlook. So, this paper will analyze how the current economic downturn has given more power to the managers when they negotiate with their employees, giving them certain options which can bring out clear perspective about manager’s equation with labors.
In this globalised world, an economic problem in one country will not get restricted to that country, but gets spread to other countries. This is what happening today, with the economic recession starting in United States of America, is having a very negative effect all over the world. The economies of most of the countries in the world are directly and indirectly dependent on the U.S.’s economy and with liberalization happening everywhere, the negative effects in USA will be felt everywhere, with businesses worldwide facing the negative impact.
Many companies are suffering losses and as a result of it several companies are opting for retrenchment strategy. Cost cutting would have to eventually result in job cutting. Lay offs have become a common thing these days with companies. Fewer job requirements and constant lay offs irrespective of the sector made employers to be choosy about the kind of employees they want and more dominant in deciding the compensation package for them. Many reputed organizations have quietly cut the salaries and other fringe benefits to their employees. Employees are forced to take it, as they don’t have any option although it will have negative impact. People are the most valuable asset of ...
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