Jackson,a production manager at Crenzel Inc.,is expecting a labor shortage in the next six months due to increased demand for the company's products during the holiday season.He thinks the best way to deal with this labor shortage is to hire new employees.However,Pamela,the HR manager,thinks this idea would prove expensive and would lead to a labor surplus in the future.Which of the following statements,if true,supports Pamela's argument?
A) Hiring new employees requires more effort than other strategies to deal with labor shortages.
B) The demand for products will fall after the holiday season.
C) Hiring new employees is a tedious process compared to hiring temporary employees.
D) The labor shortage will remain constant after the holiday season is over.
E) The process of hiring new permanent employees tends to be quick.

Question

Quizplus · Accepted Answer

In this scenario, Pamela is right because the demand for products usually falls after the holiday season, which could lead to a labor surplus. A better way to solve this problem is to use strategies that can easily be changed; for example, overtime, temporary employees, and outsourcing.

Jackson,a Production Manager at Crenzel Inc