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Cost cutting and Employee salary and benefits

When companies are facing financial problem then almost all of them resort to cost cutting by laying off employees, reducing their benefits etc. But is this the right approach? Does this work? In fact when they are in trouble they should focus on quality and service rather than just picking employees pocket. And well motivated employees can certainly improve the quality and service which can take the company out of its financial difficulties.

Intresting read: What Were They Thinking? by Jeffrey Pfeffer.

Merry Christmas

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