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11th International Conference on

Human Resource Development on Research and Practice

DOWNSIZING EFFECTS ON SURVIVORS

Sopian Bujang and Noorfiza Sani


Faculty of Cognitive Science and Human Development. University Malaysia Sarawak (UNIMAS)
94300 Kota Samarahan, Sarawak. MALAYSIA
Phone: +6082581540
Email: bsopian@fcs.unimas.my

Abstract

This paper focused on the evaluation and analysis of 50 recent studies (2000-2008) of
literature search on the downsizing effects on survivors at the individual level, of the
organization. Most of the empirical studies in previous years before year 2000 had
focused on negative responses of survivors. 50 relevant studies in the literature search
within the year 2000 until 2008 were analyzed and be compared to the studies that
had been done before year 2000. The findings show that almost all 50 relevant studies
of the downsizing practices have direct and indirectly negative consequences on
survivors emotionally and behaviorally which were then grouped under ‘Survivor
Syndrome’ reactions table. This downsizing effects were known to be almost similar
with the findings of other researchers in previous years (1980 until 1999) suggesting
that negative effects of downsizing on survivors are unavoidable. Several
recommendations derived from the study to find gaps in the literature for future
research.

Keywords: Downsizing, Survivors, Survivor Syndrome, Organization


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Introduction

The literature has drawn on various theories originate from psychological and social
sciences about downsizing. Downsizing is an extremely applicable issue to
organizations today in that it has become the most common problem in recent years.
Downsizing can be defined as a purposeful reduction in the size of an organization’s
workforce (Cascio 1993; Spreitzer & Mishra 2002). Sometimes, it alternatively
termed as rightsizing, reorganization, restructuring, and rationalization downsizing
(Cummings & Worley 2002) in which mostly the reason is to strengthen
competitiveness (Freeman & Cameron 1993; Kozlowski et al. 1993; Leung & Chang
2002). The current tendency of organizations to downsize has a major impact on
everyone; to the government, society, organizations, terminated employees and even
the remaining employees, the survivors. It seems to have become more the rule than
the exception today and for the future since survivors react to the change in numerous
ways (Appelbaum & Donia 2001).The involuntary job loss experienced by the
survivors also has a number of psychological, social, and financial effects not only on
themselves, but on their families as well. This article examines downsizing as a
“problem” or “stressor” because, as will be seen, it is a painful process for the
survivors, and its success or failure has major implications for all concerned. More
specifically, the purpose of this research is therefore to investigate the effects of
current downsizing practices on survivors and to find gaps that exist in the recent
literature compared to previous literature.

Downsizing Effects on Survivors

Determinants of downsizing usually link with job insecurity (Brockner 1988;


Brockner et al. 1992; Greenhalgh & Rosenblatt 1984; Armstrong-Stassen 2002), role
ambiguity (Greenhalgh & Rosenblatt 1984; Fisher & Gitelson 1983; Rizzo et al.
1970; Jackson & Schuler 1985; Shannon et al. 2001), role overload, added
responsibilities (Forst 1996; Woodward et al. 1999, Lewin and Johnson 2000; Buhler
2003), shifted positions, realign (Spreitzer & Mishra 2002; Holmes 2007) and
demographic information. Empirical studies demonstrate that effects of downsizing
on survivors are more negative than positive (Grunberg et al. 2001). Mostly survivor
syndrome has become the most known effects of downsizing (Brockner 1988, 1992;
Brockner et al. 1997; Ciancio 2000; Davy et al. 1991; Guiniven, 2000; Bashford
2004) which refer as the emotional and attitudinal characteristics of those who have
survived a downsizing (Kozlowski et al. 1993; Allen et al. 2001) while Fong &
Kleiner (2004) defined survivor syndrome as the increased workload for remaining
workers in the aftermath of downsizing. Some of the reactions are the survivors
expressed grief for those who had been laid off, felt resentment and anger at
employers for not giving them adequate time to say good-bye or acknowledge the loss
(Leana and Feldman 1992; Armstrong-Stassen 1993; Noer 1993; Cook 2002).
Moreover, Grunberg et al. (2001) reported that survivors with coworkers who were
laid-off reported significantly more health problems and incidences of depression than
those with no experience with layoffs. This agreed by Shah (2000), survivors had a
profound impact watching how those laid off were treated. However there are
empirical findings that there does not actually exist such a survivor syndrome has
presented an interesting view particularly for the management (Baruch and Hind
2000).
11th International Conference on
Human Resource Development on Research and Practice

Many psychological, psychosocial, behavioral, socialization, health and well-being


were reported with the effects of downsizing on survivors. However, certain
researches have identified instances where no such syndrome characteristics are
evident. Many survivors also experience decreased satisfaction or involvement in
their jobs after the downsizing (Brockner, Grover, & Blonder, 1988; Brockner,
DeWitt, Grover, & Reed 1990) coupled with increased absenteeism and turnover
intention (Brockner, Grover, Reed, DeWitt, & O’Malley 1987; Brockner et al., 1990).
David M. Noer (1993) has found that survivors experience 12 different types of
negative feelings (job insecurity, unfairness, depression, anxiety or fatigue, reduced
risk taking and motivation, distrust and betrayal, lack of reciprocal commitment,
dissatisfaction with planning and communication, lack of strategic direction, lack of
management credibility, short-term profit orientation, and sense of permanent
change). Some other known consequences of downsizing on survivors are the impact
it has on the social relationship of employee both at work and at home (Farewell
2007).

Methodology

A review of past literature studies are descriptive, qualitative, quantitative or


anecdotal to achieve the following objectives: to identify the effects of downsizing on
survivors. The purpose of this research is to give a better understanding of the effects
of downsizing on survivors. This is achieved by systematically analyzing and
combining the findings from independent studies of past research to measure
behaviors and attitudes prevalent among downsizing survivors. Thus findings from
the study will able to find gaps that exist in the literature empirically. This project
began with a selection of 50 relevant studies for literature search within the year 2000
until 2008 and its findings were analyzed and compared to the previous years (1980
until 1999) of literature. The study of the effects of downsizing were summarized and
put into group for further discussion. Search were conducted using the reference
section of journal, thesis and dissertation from various databases as illustrated in
Table1.
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Human Resource Development on Research and Practice

Table 1: Downsizing Effects on Survivors

Year Author Title Findings

Negative long term employee’s self concept.


The impact of downsizing on the long-term employees’
1 2008 Sears, Elizabeth Ann. Effect on trust, top-down communication, employee’s
self-concept.
productivity.
Here today but what about tomorrow? Reducing the
Erickson R.A and Michael E.
2 2007 attrition of downsizing survivors by increasing their Attrition of survivors (organizational commitment)
Roloff
organizational commitment.
Employee’s health, nature of work, social relationships.
The effects of globalization and corporate downsizing on Not able to adjust, lose ability to cope, interference
3 2007 Farwell, Rose-Marie.
employee health. normal work activities in/out home), marital tension at
home.
The relationship between self-efficacy and intent to leave
4 2007 Chetse, Ernest. during organizational downsizing in an insurance Intent to leave, turnover
organization.
Survivors of downsizing in the automotive industry and
5 2007 Clark, Kief J. how their behavior affects productivity following a Survivor’s behavior (Productivity decline)
workforce reduction
Post-downsizing: what to do with the surviving
6 2007 Holmes, Kimberly J. Survivor syndrome (turnover, sick leave, low morale)
employees to bring back morale and motivation?
Organizational change, absenteeism and welfare
7 2007 Roed and Fevang Significance increase in the level of sickness absence.
dependency
Meghna Virick, Juliana D. Doing more with less: an analysis of work life balance Higher levels of workload impact role overload, affects
8 2007
Lilly, Wendy J. Casper among layoff survivors work life balance. Reduced job satisfaction
9 2006 Bravenec, Shannon. Impact of time on survivor syndrome. Survivor syndrome
Strategies that foster retention among academic support
Sources of satisfaction and dissatisfaction in their
10 2006 Brewer, Craig personnel in higher education during organizational
decision to stay or leave their current position
downsizing
Job insecurity and work-family conflict: the
Job insecurity impact on employee’s work behavior,
11 2006 Sahibzada, Khatera. organizational, situational and individual influences on
work-family outcomes or conflict
the job strain process.
Survivor’s emotional reactions (sadness, shock,
Workforce under siege: Experiences of layoff survivors in abandonment, betrayal, feelings of devastation).
12 2005 Rone, Rita S.
an environment of prolonged downsizing threat No security (feelings of loss, family, friends, fulfilling
work)
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Pay-cuts, lay-offs, buy-outs and terminations: The


Survivor syndrome: emotions, morale and performance,
13 2005 Montgomery, Deborea D. emotional impact of organizational downsizing in K-12
perceptions of job as safe & psychological contract
educational organizations on surviving administrators.

14 2005 Mirabal and DeYoung Downsizing as a Strategic Intervention Workplace social relationships and destructions

work role-transition negatively impact survivor (lack of


The effect of work role transition on survivor responses to trust, lack of clear, consistent and frequent
15 2004 Pfaff, Kenneth M.
layoffs communication from the leadership), negative effect on
their thoughts and attitudes to organization/reaction
Amundson, Borgen, , Jordan Survivors of Downsizing: Helpful and Hindering Feelings of anger, guilt, lower motivation and morale,
16 2004
and Erlebach Experiences questioning self-worth, anxiety
The impact of downsizing on survivor’s career Survivors with lower job satisfaction and job security.
17 2004 Lahner, Jessica M.
development: A test of Super’s theory Grief reactions due to loss of their coworkers friends
New development concerning the effect of work overload
18 2004 Fong and Kleiner Survivor syndrome
on employees
Increased workload, job insecurity, declining employee
Chadwick, Hunter and Effects of downsizing practice on the performance of productivity, declining employee innovation and
19 2004
Walston hospitals initiative, passivity toward career development and
severe morale problems
The effects of downsizing on employee stress and Fear of recurrence of downsizing, lack of faith in
20 2004 Kaiser, Gary M. organizational loyalty in the literature in the healthcare organization, the role of family ties to employment,
industry longing former situation and pre-downsizing
how people get along with their colleagues, supervisors,
Work related and “private” social interactions
21 2004 Tschan et al or subordinates is part of their overall perception of their
at work
work situation
22 2004 Bashford The survivor syndrome Survivor syndrome
Survivor reactions to organizational downsizing: The
Organizational commitment, job satisfaction, turnover
23 2004 Calderone, W.K. influence of justice perceptions and the psychological
intentions, trust in management
contract.
Survivor sickness and survivor syndrome, relationship
An empirical evaluation of the effects of federal
24 2004 Spangenburg, J.M with supervisor, commitment, organizational citizenship
downsizing on select organizational variables
behavior
Learned Helplessness, therapy, and personality traits: An Job Insecurity of downsizing leads to passivity,
25 2003 Cemalcilar, Canbeyli, & Sunar
experimental study procrastination, and lowered self-esteem, depression
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26 2003 Devine et al. Downsizing Outcomes: Better a Victim than a Survivor Employee loyalty, motivation and morale
The perceived impact of organizational layoff on Working relationships from familial to competitive,
27 2003 Lo, Yen-Fen.
organizational morale: Study of a Taiwanese company negative attitudes (low morale)
The effects of past and anticipated future downsizing on
28 2003 Kalimo, Taris & Schaufeli Job insecurity. Intent to quit, health
survivor well-being: An equity perspective
Downsizing and Health at the United States Department
29 2003 Pepper et al. Survivor syndrome, health problems
of Energy
Effects of chronic job insecurity and change in job
Ferrie, Shipley, Stansfeld, and security on self-reported health, minor psychiatric Job Insecurity of downsizing leads to poor health and
30 2002
armot morbidity, physiological measures, and health related depression
behaviors in British civil servants: The Whitehall II study
To stay or to go: Voluntary turnover following an
31 2002 Spreitzer and Mishra, Individual stress, empowerment and trust
organizational downsizing
Survivor reactions to reorganization: Antecedents and
32 2002 Kernan and Hanges consequences of procedural, interpersonal, and Lower organizational commitment and decreased trust
informational justice
Organizational justice, change anxiety, and acceptance of
33 2002 Paterson and Cary Lower motivation and productivity
downsizing: Preliminary tests of an AET-based model
Survivors of downsizing: Informal learning of older adults
34 2002 Mau, Dianne Cheryl who remain in the workplace after their organization Survivor syndrome, cognitive and emotional reactions
experiences a downsizing
Successful career management in a downsizing
35 2002 Trochiano, William Charles Fear of lose job, loss and grief
organization
36 2002 Henkens and Van Solinge Spousal influences on the decision to retire Workplace relationship and marital tension at home
Stress in survivors. Perceive that any demands placed
Emotional barriers to successful reemployment:
37 2002 Guindon and Smith exceed their ability to function within the organization’s
Implications for counselors
structure
Time to grieve and adjust essential for successful
38 2002 Michael Cook Grief reactions
restructuring
Stress and coping among layoff survivors: A self-
39 2001 Wiesenfeld et al. Decreased self-est
affirmation analysis
Deterioration of health, risk of conflict between
Kivimaki, Vahtera, Pentti Downsizing, changes in work, and self-rated health of
40 2001 coworkers, upper management and other groups of
and Ferrie, employees: A 7-year 3-wave panel study.
employees
Differences in psychological and physical health among
41 2001 Grunberg et al. Lost friends and co-workers, symptoms of depression.
layoff survivors: The effect of layoff contact
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Fear of job loss, physical and health responses, loss and


The job adjustment experience of survivors of
42 2001 Hubbard, Kay Frances grief, excitement, guilt, pressure from greater work
downsizing: A case study in a hospital setting
demands, loss of confidence
The realistic downsizing preview: A multiple case study,
43 2001 Appelbaum and Donia Survivor Syndrome (trust, communication)
Part I.
The lessons of survivor literature in communicating guilt, anger, and hatred, lowered productivity, lowered
44 2001 Guiniven
decisions to downsize quality, and sabotage
Network destruction: the structural implications of
45 2000 Shah Negative alterations in survivors’ social functioning
downsizing
A panel study of coping with Negative psychological issues (anticipatory and
46 2000 Kinicki et al.,
involuntary job loss outcome – stress and productivity)
Avoidance of emotional pain during downsizing in a Nontrivial changes in surviving employee attitudes,
47 2000 Hughes
public agency. performance, and well-being
An analysis of the impact of downsizing on the survivors
48 2000 Pieplow, Thomas Charles Organizational behavior, morale, intent to remain
of the downsizing within the Department of Defense
Fiona Campbell, Les The Psychological Effects of Downsizing and Emotional, attitudinal, behavioral, organizational
49 2000
Worrall and Cary Cooper Privatization morale, motivation, organizational loyalty, job security

Landsbergis et al. Reliability and validity of the Job Content Questionnaire


50 2000 Workplace social relationships and destructions
(JCQ) decision latitude scale
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Discussion

Table 2 below are the summarized tables of survivor reactions reviewed from recent
literature of 2000-2009;

Table 2: Review of Downsizing Effects in Recent Years (2000-2009)

Emotions, Psychological States and Work Attitudes

Anger (Bravenec 2006; Montgomery 2005; Rone 2005; Fong & Kleiner 2004; Amundsen et al. 2004;
Mau 2002; Pepper et al. 2003; Kinicki et al. 2000)
Anxiety/Fear (Bravenec 2006; Montgomery 2005; Fong & Kleiner 2004; Kaiser 2004; Amundsen et
al. 2004; Mau, 2002; Trochiano 2002; Hubbard 2001; Pepper et al. 2003)
Guilt (Bravenec 2006; Montgomery 2005; Rone 2005; Fong & Kleiner 2004; Amundsen et al. 2004;
Mau 2002; Hubbard 2001; Pepper et al. 2003; Kinicki et al. 2000)
Depression ( Cemalcilar et al. 2003; Ferrie et al. 2002; Mau 2002; Grunberg et al. 2001; Pepper et al.
2003; Kinicki et al. 2000)
Increased work stress/load (Holmes 2007; Chadwick et al. 2004; Buhler 2003; Spreitzer & Mishra
2002; Kinicki et al. 2000)
Job insecurity (Sahibzada 2006; Montgomery 2005; Rone 2005; Chadwick et al. 2004; Kaiser 2004;
Lahner 2004; Kalimo et al. 2003; Trochiano 2002; Hubbard 2001; Campbell et al. 2000)
Job satisfaction (Brewer 2006; Lahner 2004; Calderone 2004)
Lower morale (Holmes 2007; Montgomery 2005; Chadwick 2004; Amundsen et al. 2004; Devine et al.
2003; Lo 2003; Campbell et al. 2000; Pieplow 2000)
Organizational commitment/loyalty (Erickson 2007; Spangenburg 2004; Calderone 2004; Devine
2003; Kernan & Hanges 2002; Campbell et al. 2000)
Perceived fairness/justice ( Rone 2005; Calderone 2004)
Trust (Sears 2008; Pfaff 2004; Calderone 2004; Spreitzer & Mishra 2002; Kernan & Hanges 2002;
Appelbaum & Donia 2001).
Self esteem, Self concept (Sears 2008; Amundsen et al. 2004; Cemalcilar et al. 2003; Trochiano 2002;
Wiesenfield et al. 2001)
Grief /Bereavement ( Lahner 2004; Corr et al. 2003; Trochiano 2002; Cook 2002)
Behavioral Reactions

Absenteeism (Roed & Fevang 2007)


Intention to leave/turnover (Chetse 2007; Holmes 2007; Calderone 2004; Kalimo et al. 2003; Kernan
& Hanges 2000; Pieplow 2000)
Work effort/performance/Productivity (Sears 2008; Clark 2007; Montgomery 2005; Chadwick et al.
2004; Paterson & Cary 2002; Hughes 2000; Kinicki et al. 2000)
Communication (Pfaff 2004; Applebaum & Donia 2001)
Workplace social relationships/conflicts (Farwell 2007; Rone 2005; Mirabal 2005;Lahner 2004;
Kaiser 2004; Tschan 2004; Lo 2003; Kivimaki et al. 2001; Grunberg et al. 2001; Landbergis et al. 2000;
Shah 2000; Henkens & Van Solinge 2002)
Family/Home conflicts (Farewell 2007; Sahibzada 2006; Rone 2005; Kaiser 2004; Henkens & Van
Solinge 2002)

Most of the findings from the reviewed literature indicate ‘survivor syndrome’ as the
common effects of downsizing. As stated by the previous researchers of (Kozlowski
et al.1993; Cascio 1993; Noer 1993) which refer survivor syndrome as the survivor’s
emotional and attitudinal characteristics, Doherty and Horsted (1995 p.26) also
defined survivor syndrome as “mix bag of behaviours and emotions following an
organizational downsizing” . It also is characterized by the feelings of guilt, anger,
loss of motivation, loss of morale, questioning of self worth and anxiety (Amundsen,
Borgen Jordan and Erlebach 2004), self preservation, guilt, anger, hatred were also
common emotional themes present in survivors (Guiniven 2001). Survivor syndrome
manifested by feelings of loss, anxiety, anger, insecurity, mistrust and stress
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(McGarvey 2001). All this reactions and behaviors have been linked with survivor
syndrome.

Table 3 below are the summarized tables of survivor reactions reviewed from
previous years of 1980-1999;

Table 3: Review of Downsizing Effects in Previous Years (1980-1999)

Emotions, Psychological States and Work Attitudes

Anger (e.g. Armstrong-Stassen 1993; Noer 1993; Leana and Feldman 1992; Brockner et al. 1986)
Anxiety (e.g. Astrachan 1995, Noer 1993;
Guilt (e.g. Brockner et al. 1986; Young & Brown 1998)
Depression (e.g. Greenhalgh & Rosenblatt 1984; Noer 1993; Kets de Vries & Balazs 1997; Young
& Brown 1998; Noronha & Sharma 1999)
Increased work stress/load (e.g. Tombaugh and White 1990; Armstrong-Stassen, 1994)
Job insecurity (e.g. Greenhalgh and Rosenblatt 1984; Brockner et al. 1985; Davy et al. 1991;
Brockner et al. 1992; Armstrong-Stassen 1993; Noer 1993).
Job satisfaction (e.g.; Tombaugh and White 1990; Davy et al. 1991; Noer 1993, Verdi 1996)
Lower morale (e.g. Sutton et al. 1986; Koonce 1991; Armstrong-Stassen 1993, Mishra & Mishra
1994)
Organizational commitment/loyalty (e.g. Brockner et al. 1987; Davy et al. 1991; Brockner et al.
1992; Armstrong-Stassen 1993; Noer 1993; Mishra & Mishra 1994; Naumann et al. 1995, Young &
Brown 1998)
Perceived fairness/justice (e.g. Greenhalgh and Rosenblatt 1984; Brockner 1998 and 1990; Brockner
and Greenberg 1990; Brockner et al. 1990; Davy et al. 1991; Armstrong-Stassen 1993; Noer 1993;
Brockner et al. 1994; Daly and Geyer 1994; Verdi 1996)
Trust (e.g. Noer 1993, Young & Brown 1998)
Self esteem, self concept (Noer 1993; Greenhalgh and Rosenblatt 1984; Brockner et al. 1985 and
1992; Armstrong-Stassen,1994; Kets de Vries & Balazs 1997; Noronha & Sharma 1999)
Grief ( Conti 1998)
Behavioral Reactions

Absenteeism (e.g. Brockner et al. 1990; Feldman 1989; Brockner et al.1988)


Intention to leave/turnover (e.g. Greenhalgh 1983; Brockner et al, 1990; Tombaugh and White
1990; Davy et al. 1991; Daly and Geyer 1994)
Work effort/performance (e.g. Greenhalgh and Rosenblatt 1984; Brockner et al 1986; Brockner et
al. 1987; Brockner 1988 and 1990; Brockner and Greenberg 1990; Brockner et al. 1990; Brockner
Grover, Reed, and DeWitt 1992; Brockner, Tyler and Cooper-Shneider 1992; Armstrong-Stassen
1993; Corum 1996)
Communication (Susskind 1996; Miller 1992)
Workplace social relationships/conflicts (Koeber 1999; Bailey 1999)
Family/Home conflicts (Carraway 1997; Crouter & Manke 1994; Chafin 1992)

Most of the empirical studies above show findings of negative effects of downsizing
on survivors mainly psychological distress for example anxiety, depression, anger and
guilt (Amundsen et al. 2004). Psychological distress is a mental health disorder
involves the body, mood, and thoughts (Tourish et al. 2004). This is also aligned with
Noer (1993) who noted that higher levels of depression is still in layoff survivors
even five years after the downsizing incident.

Some other emotions include depression, confusion, helplessness, isolation, rejection,


and shock (Guindon & Smith 2002). This is because survivors have high levels of
stress; they feel that their careers are in risk, and for some, their self-esteem plummet.
Decreased organizational commitment, deterioration in organizational morale,
increased conflict in the workplace and outside workplace (at home), decreased
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motivation and satisfaction and other behavior problems also found in the literature
indicate some of the behavioral responses of the survivors.

Some findings state the effects on employees’ well-being by social interactions both
at work and at home. Previous literatures have least findings on socialization impact
on survivors however during recent years; many literatures have come out with the
role of social support as the moderator and mediator. Perhaps, survivors are trying to
adapt to the new working environment. The loss of a co-worker also relate to
bereavement or grief situation.

Overall, the reviews on the 50 literatures were almost similar to the findings of
previous years (below 2000) of literature mainly on survivor’s emotions,
psychological, attitudes, behavioral well-being and health. However, there are some
recent review of literature indicate on positive effects of downsizing on survivors
which could not be found in the previous literature search suggesting that the gap of
downsizing effects on survivors need to be studied more. Although survivor’s
reactions might vary based on individual’s differences (perception, demographic,
adaptive behavior or social support received), the outcomes of downsizing are clearly
negative on the remaining employees and very limit studies indicate the positive side
of downsizing on survivors (e.g. Pomponio 2008) for example; career alternate path,
learning new skills, further education, optimistic). There is also lack of findings on the
effects of downsizing on career decisions and planning on survivors (e.g. Marshall
and Bonner 2003).

Conclusion and Recommendation

While downsizing is aimed to improve the organization’s competitiveness,


productivity and effectiveness, organizations and society should not under-estimated
the negative effects of downsizing and must take into account the difficulties of the
survivors who are majority emotionally damaged. Survivor syndrome can be reduced
by actions of many parties. Findings from Noer (1993), Cascio (1993) and Brockner
studies describe that employee, employer and the organization roles are essential to
overcome the problem so that the remaining employee becomes more motivated for
example; good communication and employee empowerment to deal with the survivors
before, during and after downsizing. The studies also mostly describe the negative
effects of survivors which match with almost all the recent studies.

Some additional suggestions are by giving opportunities for employees to involve in


the downsizing decision, provide financial and training assistance to manage change
and transition or perceived organizational support. There is a need to explore the
moderating and mediating variables between downsizing practices and survivor’s
reactions and its significant relationship in future research. Moderator variables will
help explain why the incidence occurs. There is also a need to review the existing the
models that had been proposed in the downsizing literature in relation to the employee
and organizational outcomes. Besides, due to the limited literature review on the
positive effects of downsizing, such research should also explore the positive side of
downsizing can have on the employees and organization. Although downsizing topic
is extremely sensitive and confidential issues, findings from this area would be the
biggest contribution to the industry, organization, managers and country in managing
termination of employee without their consent.
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Acknowledgement

The authors would like to express their gratitude and appreciation to Universiti
Malaysia Sarawak for supporting and allowing them embarking for this research.

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