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Stage of Staff Downsizing Effort: In progress
Drivers for Staff Downsizing
- A unionized organization of 60 IT employees within the public sector and funded entirely by state resources.
- State revenues decreased significantly when the economy took a turn for the worse and, as a result, this organization’s revenues were slashed.
Targets and Timeframes
- The organization had already cut 20% of its budget over the past two years and was looking to cut 10% more in 2010. Executives across all departments, including IT, were called to action for reaching this target.
- In the past two years, the IT department had already cut a third of its staff and half of its budget, and was expected to cut its budget by an additional 25% in 2010.
- State regulations require that all layoff notices be given by a certain date. This provided the IT leader three months to determine who would be laid off.
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