G&A Partners’ COO and co-founder John Allen often serves as a guest writer for The Houston Business Journal. His byline in the Journal last year concerned natural attrition as a way to downsize while avoiding layoffs.
Natural attrition makes sense in situations where massive layoffs (above 25% of your workforce) are not necessary:
U.S. companies lose an average of 23 percent of their work force annually due to voluntary turnover.
Instead of letting go of under performers, Allen recommends holding onto top performers:
So how can you execute organic downsizing effectively? Four words: Retain, retrain, recognize, and reward.
The article may be from 2009, but the strategies Allen outlines are still effective in today’s economy. Click here to read the entire article.