Will the Economic Downturn
Scare the Workforce Back into Submission?
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In the current economic downturn, many business leaders and managers
are hoping that employees will be frightened out of their newfound
career independence. That's because workers have been gaining
considerable power in the employer-employee relationship since the
mid-nineties. In the last few years, managers have become accustomed
to daily wrestling matches with workers who have become bold in their
demands, squeezing more pay and perks out of their managers . . . or
else job-hopping to a better offer.
Will the downturn scare the workforce back into submission? The answer
is no. Even with many economic indicators lagging, the labor market
remains tight and shows no signs of significant softening. We are
reminded by recent headlines that today's rapidly shifting market
conditions require companies to downsize, restructure, and reengineer
on an ongoing basis. There is more pressure than ever on companies to
increase worker productivity, which means getting more work out of
fewer people. Ironically, this may be strengthening -- not weakening --
the position of talented workers in the labor force. And while some
workers find themselves downsized, most companies remain under-staffed.
In today's rapidly shifting economy, business leaders find themselves
in a dilemma. Companies simply must be agile enough to respond quickly
to changing market conditions, moving quickly out of one segment and
even more quickly into another. Moreover, companies must be free on an
ongoing basis to cut fat, streamline operations, increase efficiency,
and improve quality. These business maneuvers often result in the
elimination of jobs, but they do not amount to blind cost cutting.
These maneuvers are good business strategy, without which no company
can survive.
But it's about time that business leaders realize they cannot have it
both ways. If companies must ruthlessly pursue their best interests in
the marketplace, leaving casualties downsized along the way, then
workers must pursue their best interests with equal ruthlessness. We
don't have to guess how most workers are responding to the latest
rounds of downsizing. Didn't we learn about the end of job security
ten years ago? We already know how people react. At first, waves of
fear ripple across the workforce. Then people take the message
seriously: "I'm on my own. I guess I'll have to fend for myself.
That means I have to work longer and harder, faster and better. I'd
better be prepared to follow opportunity wherever it takes me."
Sound familiar? And then the economy takes off again. And business
leaders and managers get very nervous because employees become bolder
still in their demands, squeezing more pay and perks out of their
managers . . . or else job-hopping to a better offer. And the daily
wrestling match continues.
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WINNING THE
TALENT WARS |
Now available in bookstores everywhere |
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