Legal Issues in Reduction of Workforce Simulation
Terminating employees in the workplace can be a subject of immense controversy, especially as the workforce society expands in diversity. Organizational leaders must be careful when discharging employees as to reduce the amount of legal risk that may be associated with the termination. In any situation the best interests of the organization must be focused on, however; reduces risks is always an area of concern for managers. “Discharging an employee fro reasons related to race, sex, age, religion, disability, national origin, and in some locations, sexual orientation, may constitute unlawful discrimination. Discrimination laws apply to employees who have been terminated or undergone other undesirable employment decisions, and such employees can file claims against their current or former employers with the U.S. Equal Employment Opportunity Commission (EEOC) or an authorized state of local agency,” (University of Phoenix, 2008).
FastServe, Inc. is a $25 million dollar organization with a workforce of 350 people. The organization handles the direct marketing of branded sports apparel. In light of the .com craze the organization made the decision to open 2 online marketing and distribution channels in hopes of increasing market share. One of the channels was geared towards boys, and the other towards girls. Ten percent of the organization’s employees were transferred to manage the online distribution. Problems with the 3-D ‘drape-n-see’ mannequins quickly occurred and forced organizational leaders to make the decision to get out of online distributing. Downsizing is imminent, and only a few of the employees will be retained. Organizational leaders have narrowed the lists down to five employees for consideration. These employees are Carl Haimes, Brian Carter, Sarah Boyd, Nora Manson, and Jenny Mills. The decisions are to be based upon past performance and skills sets, as well as, the benefit...