Which Statement Is True About Downsizing

question 1

Multiple Choice

Which statement is true about downsizing?

• A) HRM cannot, and should not, inform all employees why downsizing is necessary.
• B) HRM should withhold information regarding downsizing rather than maintain open communication with remaining employees.
• C) Downsizing is associated with positive stock returns.
• D) Downsizing results in higher profitability following layoffs.
• E) HRM can provide downsized employees with outplacement services to help them find new jobs.

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Definitions:

Construct Validity

The extent to which an assessment or tool accurately measures the conceptual framework it is designed to evaluate.

Experience-Near Constructs

Psychological concepts that are readily understandable and relatable from an individual's personal perspective.

Individualistic Cultures

Societies that emphasize personal achievements and rights, prioritizing individual goals over group objectives.

Collectivist Construals

Interpretations or perceptions that emphasize the importance of community, shared goals, and group cohesion over individual goals.