Management of Employee Relations Essay Example | Topics and Well Written Essays - 2250 words

Management of Employee Relations - Essay ExampleIn this globalised world, an economic problem in one country result not get restricted to that country but gets spread to other countries. This is what hap today, with the economic recession starting in the USA, is having a very shun 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 the USA will be felt everywhere, with businesses worldwide facing the negative impact. M whatsoever 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. Layoffs have become a common thing these eld with companies. Fewer job requirements and constant layoffs irrespective of the sector made employers to be choosy about the kind of employees they want and more dominant in deciding the c ompensation 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 dont have any option although it will have a negative impact. People are the most valuable asset of any organization, and as many have found to their peril, exaggerated redundancy of staff or the mismanagement of people leads to certain disaster. Managers have upper hand these days and really have become dominant. Instead of thinking about how to optimize productivity and overcome financial problems, managers look at the easy way out.