According to Anphabe Company, streamlining human resources, although bringing many benefits in terms of efficiency and cost, also poses many challenges for businesses.
First of all, about the commitment of employees. After the staff cut, the remaining employees may feel uncertain about their future at the company. Fears of further cuts could reduce their working spirit, commitment and dedication to the organization and business. Although the rate of voluntary severance pay may decrease during difficult economic times due to a stable mentality, in the long run, instability can lead to good employees seeking opportunities in other places more stably.
According to Anphabe's go-to trend survey, up to 43% of go-to-workers said they were concerned about the trend of replacing human resources in organizations and businesses. Only 49% are connected to their current workplace and 43% see their future at the company in the next 2 years. Although only 17% of those surveyed said they intended to quit their jobs for 6 months, up to 48% said they were open to exploring new opportunities.
When the number of employees decreases, the remaining employees often have to take on a larger workload, even holding many different positions concurrently. This can make them feel overloaded, leading to a decrease in motivation and willingness to devote themselves to work. 43% of employees said that their workload is too high, but only half of them receive attention and listening from their managers.
The big challenge for businesses is the ability and capacity of the remaining staff to meet the increased workload left by those who have passed away and ensure the apparatus continues to operate smoothly. The reduction of personnel can lead to a shortage of skills or experience in some positions, affecting the overall operational efficiency of the business.
Anphabe's survey shows that up to 51% of employees feel stressed by work pressure, only 1/3 of employees are satisfied with their current abilities and skills. Although they consider analytical and critical thinking skills, AI application or problem solving to be important, the confidence of employees in these skills is still limited.
According to Anphabe, streamlining businesses is an inevitable trend in the current economic context, bringing many opportunities to improve operational efficiency, focus on core activities and enhance competitiveness. However, to turn "streamlining" into a driving force for sustainable development, businesses need to have an effective management strategy, focusing on transparent communication, supporting employees and investing in improving the capacity of the remaining workforce. Only by managing the streamlining process in a strategic and humane manner can businesses overcome challenges, achieve cost efficiency and ensure stability and long-term development.