What are the effects of cost-cutting on employee morale?
Cost-cutting can lead to decreased employee morale due to job insecurity, increased workload, and reduced resources.
Can you explain how it affects productivity?
Yes, lower morale often results in decreased motivation, which can lead to reduced productivity and higher turnover rates.
Are there any ways to mitigate these effects?
Absolutely! Open communication, employee involvement in decision-making, and recognition can help maintain morale during cost-cutting.
What are some signs that morale is declining?
Signs include increased absenteeism, lower engagement in tasks, and a rise in complaints or negative feedback from employees.
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