HREQ 3010 Lecture Notes - Lecture 12: Cultural Assimilation, Cultural Pluralism, Wrongful Dismissal
29 Mar 2020
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Reduced employee morale due to layoffs and relocations. Takeovers result in human displacement, anxious employee die to change, job security or not wanting to work for acquiring firm. A loss of trust in the firm and its top managers. Half of the senior executives in large acquisitions leave within a year of the takeover, and. Employees go underground, afraid to make themselves visible or do anything that may put their jobs at risk. Overt sabotage occurs when employees deeply resent the turmoil the merger is causing in their lives. Self-interested survival tactics emerge hiding information from team members to accumulate a degree of power. A resigned attitude appears, stemming from the belief that no amount of work will prevent one from being fired. Employees spend at least one hour a day dealing with rumours and misinformation, and/ or engaging in job-search activities. Principle reasons why mergers fail: meshing the cultures.
