Making sense of job loss: Experiences of Indian managers
Viji Vijayalakshmi, Institute for Financial Management Research
“ Please put in your papers. Your services are no longer required”
Since 1991, Indian economy has witnessed rapid changes marked by growth of several Indian business houses into world class organizations, advent of MNCs and privatization of State owned enterprises. The flip side of development is the series of restructuring and downsizing of firms to rationalize operations and cut costs. Organizational restructuring have resulted in involuntary job losses at all levels of employees, including senior management levels. This study was carried out to explore how individuals cope with job loss. Twenty seven senior executives who have undergone involuntary job loss were interviewed to understand their lived in experience of undergoing job loss. Given the sensitive nature of the study, each respondent was interviewed several times with each interview lasting ninety minutes or more. Interview data was content analyzed using Grounded theory approach as proposed by Strauss and Corbin (1990). Most respondents claimed that they had a ‘premonition’ of the impending job loss. The initial reaction to announcement of dismissal was usually quiet acceptance and the respondents were in a state of denial before and after the event. Post job loss, most managers went through a traumatic phase moving from ‘Quiet Acceptance’ to ‘Keeping Busy’ giving way to ‘Helpless Rage’, ‘Depression’ and ‘Acceptance of Reality’ stages. The findings of the study are supported by evidences from extant literature. The perceived fairness of the reason for job loss, process of communication of the news and organizational practices after the event influenced the respondents coping process. Dual edged role of family and social network in the coping process is also discussed. ‘Faith in a higher power’ emerged as a positive factor helping respondents to overcome grief and to accept reality gracefully. We submit that this faith element is diametrically opposite in its impact on stress and coping from widely researched external locus of control. The implications of the study for both managers and organizations along with limitations of the study are discussed.
References
Strauss, Anselm and Juliet Corbin. Basics of Qualitative Research: Grounded Theory Procedures and Techniques. Newbury Park, CA: Sage Publications, 1990