Rightsizing: Is this a Right Strategy for Surviving Workforce in IT Industry?

Abstract

The pandemic-driven disruptions and geo-political disturbances at global level are exacerbating macroeconomic uncertainties ensuing sluggish growth for business world-wide. The information technology and information technology enabled services appeared as a savior during challenging times of COVID-19. Some crucial sectors of economy like healthcare, education, research and development, supply-chain, business, and financial sector were facilitated by technology and digitalization. The technology industry outperformed all other sectors remarkably, but in recent times this industry is trying hard to weather out the recessionary trends. Most of the IT companies are restructuring their work models and trimming workforce in the name of "rightsizing" to grapple with uneven demand, soaring costs and efficiency issues by. The current research paper makes an analysis of select IT companies, which have adopted 'rightsizing strategy' and made sizable lay-offs since past few years to achieve cost rationalization and improve organizational performance with efficiency and effectiveness. The author has opted for a descriptive cum diagnostic research design and has used both primary and secondary data to assess the impact and efficacy of rightsizing strategies on surviving employees of IT Industry with the help of statistical tools of correlation, regression, and path analysis in this study.