Few staff cutbacks for 2011: survey

Employees can finally start to breathe a bit easier. The downsizing that swept the country for the past two years has finally slowed, with most employers planning few cutbacks in 2011, according to a recent survey by Right Management.

The survey took opinions of 3,000 Canadian senior executives throughout the country.

When asked if they anticipate restructurings and cutbacks in 2011, 43% said there would be “practically no staff cutbacks,” 25% said there would be fewer and 17% said there would be a “modest number.”

However, 3% admitted there would still be a significant level of staff cutbacks. Twelve percent said they didn’t know.

“For the past two years, Canadian organizations have cut costs and laid off staff, and most have very little—if anything—left to cut,” says Bram Lowsky, Canada general manager for Right Management. “Employers are at a point where they need to make a greater investment in talent to ensure strategic viability. The biggest single differentiator an organization has is its people.”

Lowsky says that 2011 will be a year of growth.

“A coherent strategy around talent will be needed to deliver on increasingly aggressive business goals,” he adds. “The skill sets and abilities of the remaining workforce may or may not be what is needed to take the business forward. Managers need to assess employee competencies against both current and future goals to dramatically increase their chances of success.”