AFTER THE LAYOFFS, WHAT NEXT?

SECTION :B GROUP NO. 5

Neha Premchandani 18104
Pavan Kumar K 18105
Pratik B Bathia 18106
Rishwin Raj 18107
Saranya P 18108
Siddarth M 18109
Srinivas Prasad R 18110
Sumanth Sharma R 18111
Trupti Kanwar 18112
Veena Shravani 18113
Vikas J 18126
INTRODUCTION

• Delark was in bad financial position. Hence they wanted to turn around.
• Denton was appointed, during his tenure the stores were refurbished and Delark made
comeback in its financial position and market share.
• But Delark had to do lot of downsizing, hence employees were unhappy and insecure of
their jobs.
• Board of directors were not aware of ground realities of Delarks.
• Denton renewed contract for 2 years with an increased salary and more stock options
they are looking for number and unaware about the cost for this success.
ISSUES FACED BY THE COMPANY

• Lost trust of employees

• Company reputation went down due to rumours spread in the market.
• Survivors had feelings of job insecurity and low morale including top managers.
HR PLANNING ISSUES

• No proper procedure while making layoff.

• Company have not given proper explanation/justification for layoff
• Criteria for layoff were not based on performance of the employees but based on stores’
performance.
• Employees were not given opportunity before the layoff.
WHAT TASK WOULD YOU TAKE TO IMPROVE THE
SITUATION
• Layoff policy will be the last possible choice.
• Commission based compensation will change to salary based compensation.
• Restoring town meetings where the lower level employees felt that the top management
understood their problems.
• Interview employees regarding interesting aspects of the jobs and what changes could be
mutually beneficial.
Thank You