If you’ve ever wondered what downsizing is all about, there’s an explanation of it that makes a lot of sense in the August issue of Mother Jones magazine.
“Despite the popular myth, downsizing does not necessarily make companies more profitable, more productive or even smaller,” writes Alan Downs, an industrial psychologist.
Instead, it accomplishes another important goal: It drives down wages and benefits.
“Strip away the myths and what remains is an ugly truth,” Downs asserts. “Management uses layoffs to lower wages and to make a quick profit.”
At last, a reason that makes sense–to corporate America only–for destroying the livelihoods of millions of U.S. workers.
– Compensating ideas. Though lowering wages is one of the goals of downsizing, management consultant David Hofrichter points out that in the aftermath of downsizing, low morale destroys the commitment, creativity and productivity of the remaining employees–and the only solution is to give them more money.
“Pay can reverse such low morale . . . ,” says Hofrichter, a vice president of The Hay Group, an international management consultant firm. He is co-author of “People, Performance and Pay” (The Free Press, $27).
Offering monetary incentives based on performance “will capture the potential of these workers and make them once more a part of the organization,” the consultant promises.
And how about restoring some of those benefits while you’re at it?
– Government publications. If you want to see a copy of Bulletin 2472, “Employment Outlook: 1994-2005,” published by the U.S. Department of Labor’s Bureau of Labor Statistics, here’s where to turn:
First, many libraries have it. Secondly, the bulletin, which costs $5.50, is available by writing to the U.S. Government Printing Office, Superintendent of Documents, Mail Stop: SSOP, Washington, D.C. 20402.
Or, you can call the bureau’s national sales office at 312-353-1880.
One of the occupations listed in the publication as having the highest potential growth is that of “electric pagination systems workers.”
I asked Neil H. Rosenthal, a government economist and chief of the Division of Occupational Outlook for the Office of Employment Projections, what that title means and wouldn’t “electronic” be a better description than “electric.”
“It’s an awful title,” said Rosenthal, whose division is part of Labor Statistics. “It refers to people who electronically set up page layouts. We’re probably going to change it to `page layout specialists.’ “
– References count. A university official emphasizes the importance of references for student job seekers.
“I recently interviewed about a dozen applicants for a student position at a large university,” he said. “Half didn’t bring any references and four didn’t even bring a resume.”
The field was narrowed to three finalists. “I checked all references thoroughly and chose the applicant who had three good references,” he said. “The others had only one or two. I feel I hired the most qualified person, used a fair method of selection and now have a very good employee. I also told some of the others that without reference they had no chance of getting the job.”
If you had any doubts about the importance of good references, they should now be dispelled. It’s dicey to hire anyone without references–and smart employers are checking them out.
– Win some, lose some. The good news is that 41 percent of 1,200 working parents surveyed by Family Service America (FSA) say they’re spending more time with their children than they did three years ago.
The bad news, however, is that 42 percent say they now spend less time with their spouses.
The report is titled “The Impact of Workplace Changes on Families and Children.” FSA is an international non-profit organization representing more than 260 family service agencies. If the trend keeps up, there’s a possibility there will be fewer children to spend time with.
Coach’s Tip. Employees and their families also are consumers. If companies don’t stretch a little to allow workers to deal with family responsibilities, they may find the consumer pool will shrink.
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Carol Kleiman’s columns appear in the Tribune on Sunday, Tuesday and Thursday. She can be reached by e-mail at ckleiman@tribune.com.
