As the finance in the hand of the companies are crunching, companies have started firing people rapidly to save cost. I believe efficiency of any CEO can be judged by his ability to keep his employees happy. In this situation, everyone has become part of Darwin's theory. Whoever is best remains in the organization and just an inch of gap between the last person who is not fired keeps the competition tougher. In these times, lakhs of people go through a turmoil of pain and grieve to sustain their credits, keep their children in the best school or college, cut their expenses and manage badly their EMIs. What can you expect from these guys? They are already in deep shit. It needs motivation, consolotion and support of friends and family which often people not get easily due to distances between them. Citigroup CEO announced cut in their employees of around 53,000. First we should ask, did they really lost market capitiliazation equivalent to these many human resources. Jet Airways and Kingfisher are two biggest players in Airlines business of India and Kingfisher has used a good strategy by first annoucing friendship with Jet Airways and leaving them to think about their extra human capital. They fired 1900 Cabin crews but realised mistake later on and took them back. First idiot thing was to fire and second foolishness came with taking them back due to outrage by them. This foolishness cost them by reduction of trust of their employees in the organization as organization bleedes inside and rival Kingfisher takes advantage of this by playing smart on these reactions. They never fired any of their Cabin Crew but did fire from their merged company so as to give an impression that their rival should also think about this and do it. Lehman Brothers was managed by best B-School students of world. What went wrong in Lehman Brothers was not just financial crisis but the zone of comfort exprienced by their employees. In this turmoil times, smart street guys take more advantage to get best jobs and those Knowledgable guys with good memory are left without intelligence.
Let's see who come out and win in these situations.