Question

Kevin, the CEO of MedImpact Inc., finds that the company needs to eliminate a labor surplus to avoid financial difficulties. To deal with this problem, he chooses a strategy that gives him fast results. However, the amount of suffering caused to employees is high. Kevin is most likely using the __________ strategy to reduce the labor surplus.

Answer 1

Answer: Downsizing

Explanation:

Downsizing is referred to as or known as the permanent reduction in an organization's labor force done with elimination or firing of the unproductive workers. Downsizing is also referred to as a common company practice, this is usually in association with the economic downturns or the failing business organization. Firing employees is known to be the fastest way to cut down on costs, and also downsizing an entire organization, branch or its division.