Analysis Of The Closing Of A Facility Essay - 1004 Words

Background Martin, Bartol and Kehoe (2000) relay that the rapidly changing business environment, which includes reorganization, acquisitions and mergers between companies, has been the impetus for many layoffs of employees due to downsizing, which in turn can cause legal issues for the company if not handled appropriately. The recent merger between Davis Manufacturing and Bartlund Technologies present such a scenario when the necessity for more efficient operations calls for the closing of a facility in San Jose, CA along with the reduction of that facilities staff by 20%, before relocating the rest. Karen Howell, the division manager, will work with the area managers to determine the employees designated to be dismissed using performance appraisals as the basis for terminations. When ascertaining the employees to be terminated, the dismissal criteria must be clear, consistent and fair in order to avoid legal consequences (Gomez-Mejia, Balkin, Cardy, 2016). These authors espouse the most frequently used criteria is either seniority or employee performance, or a combination of both, with each method having advantages and disadvantages. Disadvantages relayed for using seniority is the loss of superior performers and protected class members. For this reason, Gomez-Mejia et al. (2016) believe performance appraisals are the most proficient method to retain the best employees, but they also pose greater legal risks if not properly documented. What should Howell do? HowShow MoreRelatedThe Recalcitrant Director Case873 Words   |  4 Pagesrecess in the meeting? Why? | 2 | 2- Should the Byte executives tell the town administrators and potential employees that this is a temporary plant, to run for three years? | 2 | 3- What impact does a plant closing have on a small town like Plainville? 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