THE EFFECTS OF EMPLOYEES DOWNSIZING ON ORGANIZATIONAL BEHAVIOR

The main objective of this paper is to explain the concept of downsizing and the way of its implementation in enterprises. Also, the aim is to point out the inevitable negative consequences that occur in the company, related to employees and their behaviour. Under pressure from the global economy, businesses are in a constant race for high-level competitiveness and profitability. In most developed and developing countries, restructuring processes are intense and often present in companies. Downsizing, as one of the possible organizational restructuring strategies, can be implemented in several ways. The idea is mainly to reduce the number of employees, which reduced the cost of doing business, but at the same time, several negative consequences affected employees and organizational behaviour.