When there is a headcount reduction, do you need to “worry” about remaining employees? Why?

When there is a headcount reduction, we do need to “worry” about remaining employees for various reasons. First, there shall be a sense of panic and pain attached with the remaining employees who might have been possibly close to the earlier employees in the Organization. The remaining employees could be hence aware of the current state of the retrenched employees in the market which may cause a mental disturbance to them. Moreover, they could also be in panic condition owing to the constant fear of ‘Next is you’ for them. They might anticipate another retrenchment at any point of time thereby impacting their efficiency at work. Further, due to the reduction in the headcount of the employees, the remaining employees may undergo a state of stress to learn and adapt to the job profiles of the persons who have been now removed from their jobs in the Organization. They could perhaps be even burdened with new set of responsibilities and challenges along with a possible increase in the work pressure that was earlier spread across a larger base of the employees in the Organization.

Hence due to all the above concerning factors, a headcount reduction may indeed have an impact on the remaining employees and therefore steps need to be undertaken to motivate the remaining employees such that they feel a sense of security and confidence in the system and ways are developed to reach out to them in a manner that the remaining employees are not over-burdened with work. Improving the efficiency of the remaining employees would hence be an area of dedication for the management to retain the remaining employees successfully in the Organization and hence they do need to “worry” about them.

 
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