Another Side to Downsizing: Survivors' Behavior and Self-Affirmation

“Downsizing” is one of the terms used to describe the efforts of companies to gain a competitive edge. The effects of global competition, mergers, market saturation, and automation are forcing the streamlining of the American workforce. This study addresses the gap in empirical data on the effects of self-affirmation opportunities to employee survivors and victims. Specifically, the conceptual model developed in this research examines the interactive effects of self-affirmation and the perception of procedural justice, distributive justice, and job insecurity on the induced psychological states of the individuals involved with companies engaged in downsizing. The conceptual model suggests that layoffs have an impact on the induced psychological states of the individuals affected. At play in the model is the moderating variable of re-affirmation. This, in turn, will affect the attitudes and work behaviors of those same individuals and their ability to maintain their self-image. Specific recommendations to management, based on these findings, conclude the study.