Mexstan

Got a question that probably either is affecting some of you right now, or is going to affect others in the near future.
During a recession/depression, how does a company, large and small, preserve their top trained people without laying them off? A larger company may be able to shuffle employees around for a while, but that can only go on for so long.
The current financial situation is bad and getting worse, so let's presume the worst and hope for the best. So presuming that the economy and most businesses are going to be forced to lay off, what formulas can be used to look into the future for a turn around and hang on to your good people until it does? How does a company determine which good people to hang on to and which good people to get rid of? Finances aside, what needs to be done in this trying times to preserve a company and it's valued employees?

Jeff in TD

Where it is allowed and there is an easy measure of employee performance, I'd imagine some companies would lay off the people with lower performance (sales or whatever) first.

In a place where there is an employee association or a union, though, contract may specify that the part timers get cut before full timers get laid off or reduced hours, and that the least senior people go first.

I'm sure that companies who are forced to lay off hate to see it when talented, loyal and experienced people have to be shown the door...

patdaly

For the most part, US companies do not run under the assumption that anyone lower than the CFO is valuable, thus there is not a problem.........

And I am only half joking my man.......

Need95-00CTD

Joke all you want guys. I just got my notice, and I'm sure other guys onn here have as well. I know the last budget I'll be cutting is the beer budget, and the ammo budget. At least I have plenty of skills to keep me busy and hopefully find a new job in the very near future.

kthiemann

At my shop is strictly by seniority...is sad cuz unless enough people retire there's about a 75% chance that I'll be getting my notice sometime in mid March.

Scotty

This is a tough question and tough experience [s] for many people.
My brother works [so far so good] for a company in Houston that has cut its work force over and over for the past 18 months. No rhyme or reason other then a pattern of favortism by the axe man and its catching up to him.
Only because my brother is the only one trained and certified in his area is he still there. He was laid off and fired in one day and hired back the next by the owners. Why they kept the axe man who knows. I think Mexstan has asked a very difficult question if its to be resolved fairly in such times.
As I see it right now...times are changing to a 'fend for yourself' atmosphere for a lot of people.

6speedcowboy

It seems like its hit and miss on who gets laid off. I just got laid off from my job as a boiler service tech/pipe welder and I was the most experienced person in my department other than my boss. My only guess is that the owner of the company thought that I was too expensive because my boss wanted to keep me.

PistolWhipt

There would be those in a position to be forced to retire ...(have enough time to do so but the company is allowing them to stay).

PISTOL

Red3quarter

Some companies might force retirement on the older employees but in my shop it goes by seniority. I'm close to the bottom so I'd get cut pretty early if we ever lay off. But right now my industry is actually doing pretty well, alot of people decided to ship by rail instead of by truck because of the high fuel prices over the summer and alot of companies are still shipping by rail even with fuel prices down. The trucking companies still have outragous shipping charges.

rebal

Its getting hard out there The company I work for went from 300+ to 20 . I so far have survived (thank you Lord) But to day we found out all accounts are COD and we lost are ability to get bonding. owner has been selling off equipment left and right trying to stay solvent .we lost $9million from other Companies going under . I do as many side jobs I can get to pay bills after the $5 gal gas my savings is at $0 .the owner is really feeling bad he has to let his people gowhat Do we do? where do you find a $36 hr job?

scottsjeeprolet

Well my employer is cutting down on raises this year so we don't have to lay off anyone. I got one but a small one and I'm the senior Millwright in the shop. We had a great year last year so we have plenty of money to weather the storm.
The service side of the business is picking up (that's what i do and am the only one) . seems people want to fix the pumps instead of buying new ones & the municipal and Gov work is picking up.
I got out of the Millwright local 20 years ago, because i was tired of only working 6 months a year.

Tate

Thats why I am still with the MW local, I like only having to work 6 months a year if I choose. We are relatively sheilded here in Alberta, but the non-union guys will feel it before I will. Getting laid off from their jobs would be hard for them, for me, thats a monthly occurance. I'm used to it and just take another call.

67HotRod

Our company has been bought twice in the last 2 years and I'm still here. Thank the Lord! My wife was self employeed, but lost most of her customers, down to two now. She took a job at the school, so atleast we will have some money coming in, worst case senerio.

Jeff in TD

Here anyway, I think a person with millwright skills could get on working with windmills...

Fronty Owner

Currently, we are at a hiring freeze and raises are capped at 3%.

Right now, the only people that are panicking are the ones that haven't been thru an oilfield down turn before. I suspect in the next month or so, we are going to have a facility wide random drug test or two. That gets rid of the easy ones. Then management starts looking at who has had safety violations or poor attendance. After that, the tough decisions must be made looking at performance evaluations, training, and who the leadmen can do without.