Downsizing and Structural Holes: Their Impact on Layoff Survivors' Perceptions of Organizational Chaos and Openness to Change

Organizational downsizing places many strains on surviving employees. Despite the implicit relationship between changes to communication networks and employee responses, few studies examine downsizing-induced network changes or the impact of these changes on employees. This longitudinal investigatio...

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Bibliographic Details
Published in:Communication research 1998-02, Vol.25 (1), p.30-65
Main Authors: SUSSKIND, ALEX M., MILLER, VERNON D., JOHNSON, J. DAVID
Format: Article
Language:English
Subjects:
Communication
Corporate reorganizations
Dismissals
Downsizing
Downsizing (Management)
Employees
Human resource management
Job loss
Layoffs
Management
Organizational change
Organizational structure
Perception
Psychological aspects
Workers' participation
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Summary:Organizational downsizing places many strains on surviving employees. Despite the implicit relationship between changes to communication networks and employee responses, few studies examine downsizing-induced network changes or the impact of these changes on employees. This longitudinal investigation examined fluctuations in structural holes within a hospitality company's corporate headquarters resulting from the loss and gain of communication contacts. Building on Burt's treatise on structural holes, we tested a measurement of structural holes and its relationship to layoff survivors' perceptions of organizational chaos and their willingness to participate in planned, postdownsizing changes. Although the downsizing had a modest impact on surviving employees' structural hole experiences overall, the structural hole index was a significant predictor in longitudinal and within time period comparisons of employees' perceptions of chaos and openness to change.
ISSN:0093-6502
1552-3810
DOI:10.1177/009365098025001002