Although most of the services companies tend to adopt a high commitment approach for maintaining the most valuable assets of companies, employees also become primary costs that employers need to optimal in resource management. For example, a case study of Mid Yorkshire Hospital, the director of HR department had promised to be active to avoid compulsory redundancies, while he also claimed that as for necessary saving, they needed to reduce workforce costs and regretfully they could not rule out having to make compulsory redundancies. Meanwhile, they have consulted with staffs to reduce wage costs. However, trade union stated that most of the redundancies belong to “lowest paid staff”, and most of them have been made to pay the costs of expensive private consultants and financial mismanagement. In addition, trade union also argued that hospital had no need to make compulsory redundancy because receiving enough applications for voluntary redundancies and early retirement (BBC, 2012). Therefore, in order to maximum the efficient human resources advantages of the hospital, it is a choice for managers to take different strategies in different levels of staffs. By selecting the lowest paid staffs such as administrative and nursing staffs to make redundant
Although most of the services companies tend to adopt a high commitment approach for maintaining the most valuable assets of companies, employees also become primary costs that employers need to optimal in resource management. For example, a case study of Mid Yorkshire Hospital, the director of HR department had promised to be active to avoid compulsory redundancies, while he also claimed that as for necessary saving, they needed to reduce workforce costs and regretfully they could not rule out having to make compulsory redundancies. Meanwhile, they have consulted with staffs to reduce wage costs. However, trade union stated that most of the redundancies belong to “lowest paid staff”, and most of them have been made to pay the costs of expensive private consultants and financial mismanagement. In addition, trade union also argued that hospital had no need to make compulsory redundancy because receiving enough applications for voluntary redundancies and early retirement (BBC, 2012). Therefore, in order to maximum the efficient human resources advantages of the hospital, it is a choice for managers to take different strategies in different levels of staffs. By selecting the lowest paid staffs such as administrative and nursing staffs to make redundant