HR Glossary

Downsizing

Table of contents

Downsizing definition

Downsizing, sometimes referred to as layoff, is the process of company’s permanent reducing of workforce by terminating the employment of employees.

what-is-downsizing

Downsizing definition

Downsizing, sometimes referred to as layoff, is the process of company’s permanent reducing of workforce by terminating the employment of employees. It generally occurs in recession to cut costs or yearly in order to maintain a competitive and efficient work force.

Employees who leave are often compensated by paying a fixed amount or a few months salary. Downsizing affects both the employees who are leaving and the remaining employees who may fear themselves to be in a similar situation at a later time.

See TalentLyft in action

Applicant Tracking, Recruitment Marketing, Sourcing and Talent CRM software are powerful alone, but unstoppable when used together!

Related content

Explore more topics

  • SMBs HR

    Unlock effective HR strategies tailored for small and medium-sized businesses (SMBs). Learn how to manage recruitment, employee engagement, compliance, and talent development on a budget. Discover tools and best practices to streamline your HR processes and build a strong, thriving workforce in your growing business.

    Learn more

  • Talent Sourcing

    Talent Sourcing is all about identifying and engaging with the best-fit talent for your organization. In this section, we explore all the strategies and best practices you can use to discover top talent effectively. Whether you're a seasoned talent sourcer, an HR Manager or just starting to explore the world of proactive recruitment, dive into our blog posts, gain inspiration, and take actionable steps toward building a strategic sourcing approach that ensures you never miss out on top talent.

    Learn more

  • Culture Fit

    Ensure culture fit in your hiring process with strategies that align candidates’ values and behaviors with your company’s culture. Learn how to assess cultural compatibility during interviews, foster a positive workplace environment, and build a team that not only excels in skills but thrives within your organization's unique culture.

    Learn more

  • Job Advertisement

    Learn how to craft compelling job postings that attract top talent. Discover the best platforms to publish your job ads and effective promotion strategies to reach a larger pool of high-quality candidates. Maximize your job ad's visibility and ensure you get the right candidates for your open roles.

    Learn more

  • Candidate Relationship Management

    Improve your hiring process with effective Candidate Relationship Management (CRM). Build and nurture strong relationships with candidates by leveraging CRM tools to engage, communicate, and maintain long-term connections. Enhance candidate experience, increase retention, and create a robust talent pipeline for future hiring needs.

    Learn more

  • Recruitment by Industry

    Tailor your recruitment strategies to fit specific industries. Learn the unique challenges and best practices for hiring in sectors like healthcare, tech, retail, finance, and more. Discover industry-specific approaches to sourcing talent, crafting job descriptions, and optimizing your recruitment efforts for success.

    Learn more

Simple and affordable recruitment software

Schedule a Demo Start Free Trial