If your organization is limping and wheezing through the economic downturn, you’ve no doubt considered cutting down your labor burden to save money. Before you resort to radical surgery—in the form of layoffs—consider a more benign cure that increases the odds of a full recovery.
Furloughs—requiring staff to take unpaid time off—can reduce without inflicting long-term damage that could keep you from returning to full capacity once the economy rebounds.
In past downturns, furloughs were limited to blue-collar workers. With this recession, sectors such as technology, publishing and state government are furloughing white-collar employees.
Eleven percent of large U.S. companies have furloughed employees since the recession began, and 6% plan to do so over the next 12 months, according to a survey by Watson Wyatt Worldwide. The firm reports that more organizations are seeking advice about mandating unpaid...(register to read more)
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