Scenario 6.1
In 2003, managers at BabyBlooms Corp., a national retailer of baby products, noticed that sales and profits were slumping.Store managers were instructed not to fill any vacant positions, which saved some money.However, by January, 2004, it was essential that BabyBlooms cut expenses further.The firm decided to offer incentives for top managers if they decided to leave before their tenure out of free will.Expenses still remained high, and in May, the firm asked store managers to reduce staff by laying off 10 percent of its workers (about two workers per store) .When those cuts were still not enough, management called for store closings in some locations.For example, one of the store closing was announced to employees on August 1 and accomplished by December 1.In locations where stores were not closed, managers were ordered to terminate any under-performing employees, identified by low performance appraisal scores in the last two evaluations.
-Refer to Scenario 6.1.Which of the following is a least likely outcome of BabyBlooms's actions?
A) Workers will suffer from survivor syndrome.
B) Voluntary turnover will increase as employees are highly dissatisfied with the organization.
C) Job satisfaction and morale will decline.
D) There will be a rise in reports of strong organizational citizenship behavior.
E) The layoffs and store closings will be a shock to remaining workers.
Correct Answer:
Verified
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