A firm can best manage participation in an early retirement program by:
A) restricting the program to areas of the business with a redundancy of employees.
B) outsourcing highly skilled employees to competing firms.
C) offering the program only to employees with poor performance appraisals.
D) requiring participating employees to sign no-compete agreements.

Question

Quizplus · Accepted Answer

Restricting the program to areas of the business with a redundancy of employees is the best way to manage participation in an early retirement program. This ensures that the program does not harm the core business operations and helps the company to reduce redundancies in areas that can still function without those employees. Outsourcing highly skilled employees to competing firms, offering the program only to employees with poor performance appraisals, and requiring participating employees to sign no-compete agreements can cause legal and ethical issues and damage the company's reputation.

A Firm Can Best Manage Participation in an Early Retirement