Layoffs and Hours Reduction
PROPOSAL:
Background
In the event of a looming financial problem that would require a cut in staff costs, the HR committee would nominate an ad hoc Layoffs and Reduction Report Committee. Staff would discuss and approve the appointments of the individuals on the committee. The committee will then consider the issues involved and make a report to the staff collective suggesting a way to proceed.
Formation of the committee
The committee should only be formed after alternatives to staff cuts have been considered including various ways to increase revenue.
Mandatory considerations
In considering layoffs or hours reductions, the report should keep in mind that the the whole organization's needs in determining the recommended course of action. It should consider both the operational and financial impacts to the organization. The report should also consider the possibility of shuffling people to other positions to minimize negative impact on Free Geek.
Order of criteria
The ways to determine where to make the cuts should be considered in the following order:
Wage reduction and voluntary hours cut
- A staff-wide wage reduction should be evaluated and presented for consideration
- Staff members who voluntary wish to reduce their hours should be asked to come forward. Staff members offer that their hours be cut should actually work less hours, that is they should not volunteer to work "for free" since this can lead to an imbalance in staff expectations.
Merit-based cuts
- By department and job function
- What would happen if X program was cancelled tomorrow?
- Is there some overlapping job functionality that could be eliminated?
- Whether a staff member's program is costing rather than raising money should be taken into account in the report
- By a person's performance
- What would happen if X person didn't show up for work tomorrow?
- Use data from existing reviews?
Seniority
- after the above methods above have been used seniority should be considered as a tie-breaker.