Layoffs and workforce reduction in healthcare institutions

Cut Down and Lay Offs

Contemporary Review

Success Cases or Programs

Practical Recommendation

As the world has crossed the threshold of twenty first century, the human race is confronting several diverse and different challenges in every corner of the globe. In this regard, considering the world of commerce, the human resource managements are constantly been observed to witness quite a few grave challenges that have become the top priority for the healthcare managers to take into account.

Inequity at workplace is one of the unfortunate and adverse realities that the workforce experiences on everyday basis. Layoffs or cut down of hours is one of the serious and severe issues of the contemporary environment that has is being experienced particularly in the health care institutions, and hence has become an extensive issue on a broad spectrum within the industry. Due to this, it has been taken into consideration with severity by the health care managers as well (Wolper, 2004).

The fact has come to the forefront that complaints related to layoffs and cut down of hours (where the employees are going from full time to part time) in the health care organizations has continued to escalate in the recent times, which has been largely reported by the human resource managers. The prime reason that the health care organizations provide to this issue is the increased debts on the pensions of the employees and other financial pressures. Because of the rising complaints of layoffs and cut down of hours, especially in the health care organizations in the current times, it has considerably become a top priority issue that needs to be looked upon by the healthcare managers (Larocque, 2012).

Layoffs and shifting of health care professional from full time to part time in the health care industry has been observed as an escalated problem in both rural community hospitals as well as long-term care organizations. This is usually because the rural community hospitals experience the challenges of financial resources due to their geographical location and size while providing quality healthcare facilities to the patients. However, the long-term care organizations also encounter the financial stress due to which they are cutting down the hours of the health care professionals from all levels in order to reduce their budgets (Wolper, 2004).

Numerous sources of information have over and over again proved that exposure to layoffs and shift from full time to part time jobs have a deviating impact on the health care professionals. The excessive and extravagant costs related to the mentioned issue in the healthcare makes it overwhelming to the organization as well as society. The costs of shrinking income and layoffs usually associates with various other consequential activities by the health care professionals that include augmented stress, time pressures, increased absenteeism, unclear job expectations, poor concentration and low self-esteem or morale that ultimately leads to decreased output and productivity (Wolper, 2004).

The impact of layoffs and shrinking of earning or time of the health care professionals leaves drastic and adverse impacts on many other stakeholders as well, which typically include the patients. This is predominantly because the workload of the health care professionals doubles in case of layoffs, while reduced hours would lead them to have poor concentration due to which they would not be able to provide complete support (in terms of technical and emotional) to the patients (Wolper, 2004). Therefore, on an overall basis, it is claimed that post-acute care patients and long-stay residents confront significant negative impact on quality and access to care received.

Focus

The statistical figures from various studies and investigations have undoubtedly explicated that layoffs and shifting trend of full time employment to part time employment recently in especially heath care organizations has escalated at an unprecedented rate. Even though this issue has become one of the prevailing challenges for the health care organizations and HR managers in the modern world of today, yet numerous effective prevention strategies are being developed and implemented that can help the health care professionals re-build their confidence level, morale and are able to cope up the stress and other issues that they witnessed due to layoffs and shrinking of hours (McConnell, 2011).

Unions are one of the effective strategies that have been developed for the workers and labors that they can put forward their options and propositions to the management, which are negotiable. In the similar manner, the health care professionals have the option of union that provides them with legal right to a voice in the process. Many of the hospitals are engaged and involved in the process of discussions that are typically focusing on the goals of saving jobs of the health care professionals. These institutions are also aiming to maintain the benefits level of the health care professionals while making improvements to the hospitals as well (Larocque, 2012).

One of the strategies that have been implemented by the hospital management in order to avoid and prevent the layoffs is change of existing roles of health care professionals. This exhibits that in order to avoid the layoffs, the employees must accept new roles. These new positions and functions are initiated with the opportunity of training sessions that can help them build new skills. Therefore, redeployment and cross-training of the same employees usually prevents the layoffs, which is immensely correlated to staff morale, patient satisfaction and quality outcomes (Graban, 2012).

The prevention programs or strategies are particularly designed to curtail the levels of stress and boost the self-confidence of the employees of health care organizations so that they can productively continue with their mundane activities and have a normal and standard life. It is imperative to do so; otherwise the health care professionals would fall under adverse and drastic impacts that would provide harm to physical and mental conditions of them such as time pressures, increased absenteeism, unclear job expectations, poor concentration, low self-esteem or morale, decreased productivity and so forth (McConnell, 2011).

Contemporary Review

Layoffs and trend of reduced work hours (that shift the full time employee to part time) in general management field and health care organizations has become a rising issue, which has come under numerous arguments, discussions and quarrels with deviating, contradicting and divergent opinions and perceptions.

According to some schools of thoughts retraining people is a far better idea and strategic approach in comparison to layoffs. This way the organizational performance is also improved and the employee is able to develop and enhance other skills that facilitate them in performing in other roles proficiently. Besides, these people also believe that layoff is a short-term solution to the operating budget of the financial stress or crisis and can become a bigger problem in the long run. It has also been proposed that costs associated with the retraining of the existing employees would be lesser when compared to the costs related to layoffs (Herman, 2012).

Loyalty and increased productivity with better performance is also the result from the employees when they are not laid off or shifted from full time employee to part time employee. The experts have advised that the employee turnover would also decrease as a consequence due to the fact that the nursing facilitators would have high morale. In addition, the health care professional would not be stressed from the threat of layoff or excessive workload. Moreover, they would be in a better mental condition to perform their maximum with adequate concentration levels (Herman, 2012).

According to some schools of thoughts health care organizations are not making considerable contribution to prevent or thwart the issue of layoffs and cut down of hours within the health sector. In fact, this issue is being widely practiced by a significant proportion of the health care institutions in order to save their budget so that they can put more efforts on nursing care to the patients. However, the issue of layoffs can be curbed from the development of various programs, strategies, policies with respect to the job security of the health care professionals. The retraining sessions, understanding the needs of the staff, gaining an insight on the harmful impacts of the issue on patients, and maintaining the quality of patient care would definitely help in curtailing the grave issue of layoffs in the health care organizations (Herman, 2012).

Success Cases or Programs

Layoffs, as mentioned earlier, have become a prevailing and serious concern for almost every organization, irrespective of the industry or field in the today's fast paced world where the people are surging ahead. However, the prevention programs and alternative strategies related to the mentioned issue have been designed and implemented by quite a few organizations (in the healthcare industry) in order to thwart and avoid such situations. Many of these strategies have been empirically tested, which has evidently provided results with varying degrees of success within the health care organizations.

From one of the cases, it has come to notice that few of the hospitals are implementing Lean Management practices which was designed and initiated by an organization of the management field. This methodology is designed with the principal objective to reduce the costs. In other words, the lower cost would be derived from higher engagement from the employees that can make the institution an improved care facility center for the patients. With the implementation of this program, the hospital saved considerable amount without losing any employee. Participation and engagement of the frontline workforce and health care providers is the core dependent element on which the improvements are based. In fact, the results of the empirical testing have clearly indicated that this approach and methodology has improved processes with increased productivity to a substantial percentage (Graban, 2012).

Another case that undoubtedly brings the fact to the forefront that restructuring the business segment or unit is one of the effective alternatives that can save the costs of layoffs. Several components of company's business need restructuring, for instance, shut down of obsolete plants or branches or improving the internal processes and so forth. The empirical investigations also highlight the fact that the process of restructuring produces results but usually takes longer time to prove the effects, whereas cutting down hours of employees or layoffs demonstrate rapid results but they are not effective in long-term. Indeed, the layoffs and increased unemployment results in reduced productivity. Therefore, few of the recognized management companies believe in slower method (that is restructuring) of flourishing the business as well as preserving the company's significant assets (employee) (Reh, 2012).

By looking at the third event of prevention strategies of layoffs, it has come to notice that many of the health care institutions are practicing the revisit of staffing cost. This strategy and approach is implemented with the fundamental objective to ensure the appropriate amount of balance between the productivity and efficiency of the health care provider. Reorganizing the hospital structure is the core focus area due to which the management reassesses and reevaluates the positions of the health care provider in order to ensure that the organization is not under or overstaffed (Oh, 2010).

The case studies presented have clearly revealed the fact that even though the issue of layoffs and cut down of hours exists, yet strategies and programs result in different degrees of success of the implementation of prevention programs of layoffs and reduced hours.

Practical Recommendation

The literature review and the success case studies noticeably exhibit the fact that although layoff and reduction in hours has become a widespread and an increasing; nevertheless, effective measures can be implemented by the management of the health care institution in order to prevent or alleviate such issues. However, a few recommendations with respect to the subject matter of the layoffs and shifting trend of work hours are as follows that can facilitate the top level management in halting or resolving the issue:

The budgets that are set for the employees and health care professionals ought to be evaluated and reviewed periodically and in a timely manner by the management that can keep a check and balance with the current economic conditions of the country. This would ensure the employees that their existence (in terms of their productivity, effective output, morale, increased concentration and attendance) is substantial to the organization.

The retraining of employees that can help them build additional skills and capabilities to perform other jobs and tasks is another substantial aspect that can come under consideration. This approach would condense the fear of being jobless amongst the health care professionals and they would perform in a more productive manner with increased level of concentration. Absenteeism would also be a factor of elimination.

Since the layoffs and reduction in hours usually impact the normal workload of the health care providers, thus, the management should consider this aspect with gravity. This is imperative because the excessive burden of the work and mundane tasks comprehensively develops the factor of stress amongst the health care provider due to which he or she can fall for multiple physical as well as mental disorders, and hence the quality of nursing care provided to the patient would be affected.

Communication is one of the approaches that can help the management can become cognizant of the needs of the health care facilitator. Furthermore, communicating and distributing the policies to the employees and medical staff from time to time is also one of the proposed strategies that can be implemented by the health care organizations, so that the employees feel more safe and secure. Indeed, the employees would then have a clear guidance on what is expected from them.

Conclusion

To put the entire report in a nutshell, it can be well stated that issues such as layoffs and cuts down of hours is turning out a severe and serious issue within the health care institutions on a broad spectrum, which is not confined to this industry but management fields are equally witnessing this issue on a large basis. As the problem is being increased, the solutions are also being initiated and launched.

Even though the layoffs and reduction in hours have become a gargantuan issue in the contemporary world of economic flux, yet quite a few health care organizations are implementing and promoting strategies that can help them in preventing the issue. The success cases have also pointed out the fact that prevention programs and strategies are effective and efficient means to keep up the morale and productivity of the health care workers while alleviating the stress and potential threat of layoffs.

Retraining the health care professionals have proved to be one of the most effective strategies that can be implemented by a number of health care organizations in order to have maximum productivity from the health care providers while maintaining the quality of nursing care to the patients. In this regard, the experts are constantly advising to put measures to alleviate the issue of layoffs.