To cut the workforce or not?

Your company is in real danger of going bankrupt. You have to decide how

best to prevent the demise of the business. Do you layoff part or all of the workforce if this will prevent the

end of your company? Who will be let go and how best do you communicate the message to those directly

and indirectly affected by your decision?

My nail salon is in danger of going bankrupt. I have to decide whether I layoff all or part of my workforce.

As the business owner, I have decided to lay off 50% of my workforce in order to prevent the end of my

company. If I see that I need to lay off more people, I will do so, but only time will tell. To decide who I will

lay off, I decided to see who of the nail ladies has the most customers, who’s worked in the company for

the longest time, and who might need the job the most. I’m considering what’s best for the company, but

also what’s best for them as employees. I will also have only one secretary to answer phones and make

nail appointments. Whenever that secretary is not working, I will personally work there.

I will communicate this to my workers directly in person, I will explain the situation of the company and the

pandemic, and I will wish them luck in their future endeavours. Indirectly, their families will be affected,

due to their loss of job, but this is something that is out of my control. Likewise, the customers of each of

those workers will be indirectly affected. As a company, we can call each one of them and explain the

current situation, and offer our services. All we can do is hope that this will work, and if not, we will have

to lay off more worker

Sample Solution

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