Developing effective interventions for mitigating the psychological impact experienced by a redundancy envoy during redundancy situations

  • Madeleine Petzer

    Student thesis: Doctoral Thesis

    Abstract

    This thesis provides an analysis and evaluation of the development of effective
    interventions for alleviating the psychological impact experienced by redundancy
    envoys. Redundancy envoys for this purpose included management, employee
    collective representatives and HR professionals with roles specific to the
    implementation of the redundancy process.
    The aim of this study is to investigate the key stressors for redundancy envoys, identify
    the idiosyncrasy of redundancy envoys, explore the best coping methodologies
    deployed by redundancy envoys and finally to identify the best strategies to alleviate
    the negative psychological impact for redundancy envoys.
    The data for this thesis was collected through action research where four iterations of
    restructures took place within a specific organisation. Through the process of action
    research, I designed and tested various redundancy models to drive continuous
    improvement. The main source of data collection was through semi-structured
    interviews with a total of 36 interview respondents from various industries and
    organisations. Additional sources of primary data collected included; ethnography
    through observation and diary keeping, ‘lessons learned’ sessions, employee
    committee consultative meetings, restructure and change management workshops,
    workshop feedback questionnaires, management strategy workshops and director
    application interviews.
    Analysis of data led to the design of three bespoke restructure stakeholder models to
    address key stressors and challenges for redundancy envoys. This model was piloted
    within the second and third iteration with the final amendments taking place in the
    fourth iteration. The implementation of the model resulted in an increase in
    engagement during a challenging time of change. Evidence indicates that the
    business has improved its financial position by 21.7 % over a 4 year period, from loss
    to profit making whilst undergoing four redundancy programmes. The data highlighted
    that this research project is one of the rare examples where a company can reap
    economic success through the implementation of redundancies, which is the exception
    to the rule in accordance with Gandolfi’s findings (2008) that most firms adopting
    downsizing strategies do not reap economic and organisational benefits.
    Knowledge is contributed in several areas with the key focus on the implementation of
    the restructure stakeholder model which addresses emerging themes which
    demonstrated that the mitigation of guilt during the implementation of redundancy
    programmes is one of the most powerful methods to reduce the psychological impact
    on redundancy envoys. Contribution to knowledge also indicate, contrary to existing
    knowledge that physical distancing was not favoured (Claire and Dufresne; 2004) and
    that the use of empathy reduced the negative impact on redundancy envoys.
    Date of Award2018
    Original languageEnglish

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