Downsizing and Restructuring in Smaller Firms: Survivors' Perceptions

Downsizing is a process whereby human relations management emerges as a critical skill in its effective management. This paper is about perceptions of employees of a small-sized Turkish firm who survived successive downsizing decisions. It was found that downsizing affected the organizational justice-related perceptions of survivors. The questionnaire used to explore organizational justice-related perceptions involved three dimensions and was developed by Saunders and Thornhill (1999). Procedural, interactional and distributive justice-related perceptions of survivors were influenced by the way management handled the process. Management credibility, communication and commitment were other variables studied. The findings supported the view that downsizing not only affects the victims but also the survivors.