Lahore: Businessmen have not learned from the past recession and have lost their best human resources in the last two years by pursuing a separate approach with their manpower.
In view of the young Pakistani population, this demand was bound to come back, as the youth are the biggest consumers of goods and services. The shortage of manpower has not worked wonders for most ailing companies, as many of them have parted ways with their best minds.
It also places an additional burden on retained employees, which in turn affects productivity.
The manufacturing sector in Pakistan is struggling to cope with high costs and declining sales. Most companies are forced to shell out their manpower to cut costs.
Demand has not returned to normal due to high food inflation and recurrent epidemics, growth is slowing, but there is a shortage of skilled labor in areas where growth is high. The textile sector is worried about export orders, but despite working at full capacity (apparel sector), productivity has declined.
That is why in the first four months of the current financial year, textile exports have increased by barely 3.7%. In terms of value, exports are nowhere near their peak.
At least 40% of the skilled workforce did not report working from their homes in rural areas again during the peak of Cove 19. Some have found other ways to pay less and prefer to be satisfied with less than going back to work as the incidence of covid-19 has started to increase again.
Dismissing workers is a risky business because there is a possibility that you will fire a competent worker who will work closely with competitors. In fact, some organizations have taken advantage of the reckless firing by panic-stricken companies and have in fact been able to select capabilities that would not otherwise be available in the market.
They are now in the driving seat, but there are few such companies. They acquired talent by financing their salaries from their reserves or assets, which they disposed of.
They knew that this demand would slowly return after hitting the rock. He was fully prepared to take advantage of this as most of his rivals would face a severe shortage of skilled workers and would not be able to meet this demand.
Leafs are essential after the economy has melted, but it should be an effective holiday that actually improves performance rather than causing strategic damage to the company by releasing highly skilled and skilled workers just to reduce costs. Deliver
It is unfortunate that many entrepreneurs fail to understand that cuts not only hurt those who are forced to quit their jobs, but also affect the morale of the retained workforce.
What has happened in Pakistan is that companies retained their entire workforce during the height of the recession when they went bankrupt on the capital saved when growth was high. He thought that the economy would soon recover and when that did not happen, and he ran out of reserves, the companies panicked and went on strike indiscriminately.
Now that the economy is on the path to a slow recovery, it does not have the manpower it needs and the workers who indiscriminately withdrew are not ready to return. Companies where vacations do not recover are always closed after a while, as retained workers fail to meet the high expectations of traders.
It was a shock to the companies that indiscriminately withdrew their workforce, even leaving the workers they retained to join companies that were fair. Step back and protect your human resources.
When productivity is commendable, and manpower needs to be reduced, management should take the entire workforce on board. Workers should be given the option to either accept equal pay cuts or accept the appropriate formula for leave.
The second option is to offer some workers a modest salary of half or less and keep them working in another area for years, but not in the firm.
They can do something that helps them learn and in some ways helps the firm’s reputation.
Retained manpower should be given more respect and retention should not be considered in favor of the worker. Employees should be assured of job security and their salaries should be paid on time.