STATEMENT OF THE PROBLEM

Statement 1: Layoff Due to COVID-19 Impact

The decision of InterContinental Hotels and Resorts Lusaka to implement a layoff of over 200
employees was executed as part of a global strategy in response to the COVID-19 pandemic. The
intention behind this layoff was to lower costs and safeguard the overall business operations but it
encountered criticism from the Zambia congress of trade union. Furthermore, this issue shows a
significant deficiency in communication with trade unions and lack of strategic human resource
planning.

Statement 2: Communication Gap with Trade Unions

The company's recent layoff initiative has unveiled a noticeable issue in communication and
cooperation between the management and the trade union. The absence of effective communication
has the potential to give undesirable outcomes such as the decline of employee representation within
the company's decision-making processes and the emergence of deficiencies in strategic human
resource planning. Inadequate communication practices can cause difficulties, leading to lowered staff
engagement and turnover rates, and an overall decline in employee motivation.

Statement 3: Lack of Strategic Human Resource Planning

The absence of comprehensive strategic human resource planning within the company emerges
as a significant concern. This deficiency can potentially arise issues, encompassing decreased staff
motivation, low turnover rates, and a notable decline in staff engagement. For an instance, in the year
between September 2017 and 2018, 80 workers left the company due to the frustration of the general
manager. On the same year, the director of human resource also resigned.
ALTERNATIVE COURSE OF ACTION

i. Intercontinental hotel and resorts could implement a real-time monitoring and forecasting
system for human resource needs. This system would continuously gather data from various
sources, such as online booking trends, market analysis, and emerging technologies. This
would allow the human resource department to make more informed and agile decisions,
adjusting the workforce in response to changing conditions promptly. Additionally, regular
assessments of employee skills and cross-training initiatives could ensure a versatile
workforce capable of adapting to unforeseen challenges, such as those posed by the COVID-
19 pandemic.
ii. Intercontinental hotel and resorts should stress out that treating the human resource
department as a primary function plays as a critical component for sustainable success. A
well-structured human resource strategy would empower leadership to navigate complex
situations like the one faced by the need to lay off 200 workers. Engaging a functional
human resources department could provide insights into alternative measures to retain
talent, reassign roles, or implement creative solutions that align with the company's long-
term goals.
iii. Intercontinental Hotel and Resorts could have effectively responded to the challenges of the
Covid-19 pandemic by implementing a Human Resource gap analysis approach. This strategy
would involve assessing the disparity between the hotel's existing performance and its
desired state despite the pandemic. Furthermore, integrating strategic human resource
planning, the hotel could have forecasted hiring needs, understood workforce skills, and
formulated strategies to bridge gaps, rather than resorting to massive layoffs
iv. Intercontinental hotel and resorts could have averted the challenges of labor issues during
the Covid-19 pandemic by adopting a comprehensive strategic human resource planning
approach. Instead of facing labor problems due to inadequate human resource strategy, the
hotel could have proactively developed and implemented strategies specifically tailored to
address the Covid-19 crisis. Considering options like regrouping tasks, well-designed job
creation, and effective work unit reorganization, the hotel could have strategically managed
its workforce and responded to the pandemic without resorting to large-scale layoffs of 200
workers.