Management Case Study: 15% Employee Payroll Decrease

I hope all is well since our fail encounter. As we w be recently been confronted with financial difficulties within Austen Pharmaceuticals, I have given extensive consideration in devising an effective proposal for adequately addressing the directive of decreasing payroll by 15% and am prepared to share my prospective solution. As this transition entrust forthwith impact the employees, I have met with them to apprise them of the proposed write outs that have been presented and give finally take place.In an effort to maintain morale and make this evolution as seamless as possible for the employees, I have incorporated close to of their ideas and suggestions in constructing the plan to decrease the payroll charm preserving the workforce. After reviewing the to a greater extent or less current proceeding evaluations for each employee, I have established a ranking system that rates each employee based on their boilersuit performance in addition to any individual contribution s that they have do which resulted in more efficiency within our division.By rating the employees based on performance, this provides a reference point to determine the most productive employees versus those who are marginal in the event that lay-offs are inevitable. The first step in fulfilling the objective of the plan is to immediately eliminate overtime and have remunerated staff help out where possible to complete the work.Next, is to restructure or reduce the amount of hours that each employee works opus allowing them to maintain their benefits. The more productive employees will work during peak hours and the average staff will work duringoff-peak hours. This will allow for the work to be completed while utilizing our best resources when the workflow is the highest. The final step in the plan is to cut pay for each employee based on their performance. The pay cuts will be based on the rankings providing a 1% cut for the best performance and a 3% cut for those who are withi n the lower rankings. This will allow for our best performer to be acknowledged for their efforts while meeting the needs of the company. Additionally, this will allow our average performers to maintain employment while striving to improve performance.