
why don't companies do pay cuts instead of lay offs?
Just a random thought.. please shed some light!!

Why would a demoralised employee work? Better to have none than have some.

You can upset 10 employees by letting them go or upset 100 by pay cuts.
Thought I will make this revelation. Smart Managers deliberately continue to keep ordinary people in their team and these people are given a decent hike too so that they can stay in the company until there is a layoff scenario. This generally happens with product based companies that undergo periodic layoffs regardless of economic slowdown.
So if you are an ordinary employee & continue to get encouraging feedback from your manager plus a decent hike every year, beware! This might be a smart-trap laid by your manager.
This seems unnecessarily complicated. No decent company gives managers spare or underperforming employees deliberately to use in case of layoffs months or years in advance. Managers will ask their deputies on outcomes from their team, this seems unlikely
I pity people that are so naive that they refuse to believe the art of presenting a rosy picture to the leadership team.
Not saying every manager is like that. But the ‘tantra’ used by ‘some’ smart & shrewd ones is worth to be brought to people’s knowledge. Rest, I’ll leave it to individuals whether to believe this post or not.
I have unfortunately been part of layoff discussions, on both ends. While I’m not saying this is impossible, it is highly improbable considering the amount of headache managers have to go through to justify every single person in their team. Senior folks eat you alive, demanding visibility and justification of each “resource” that is part of the manager’s team.
People don’t realise this till they become managers and senior folks start demanding these justifications
Yes, it’s a pretty standard practice across corporates as well. My boss once told me this on his own, that why do you think there are so many incompetent people in this company ? Then he gave me this answer which you have posted.
Apparently at amazon new folks are hired as easy candidates for PIP since there’s a PIP quota that needs to be filled. Apparently*, idk how true this is
Just a random thought.. please shed some light!!
Why would a demoralised employee work? Better to have none than have some.
You can upset 10 employees by letting them go or upset 100 by pay cuts.
Do you think instead of laying off employees , its better to cut some % of employees salary which can be given after certain duration?
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