Organizational Downsizing for Tourism Businesses

Abstract

Businesses merge with other businesses, acquire other businesses, and restructuring using various methods to reduce costs. One of these methods is downsizing. Many businesses that try to survive, especially in times of crisis, need organizational downsizing strategies. Organizational downsizing means reducing the number of employees and continuing with fewer employees in total. Early retirement, direct dismissal, freezing of hiring practices can be used in this context. Tourism is a sensitive sector due to the nature of the sector and sometimes there may be economically and financially problematic periods. Tourism businesses can achieve positive results in these periods with downsizing strategies. In this chapter, history of organizational downsizing, stages of organizational downsizing, and organizational downsizing strategies are explained by the literature.

Employee Empowerment and Tourism Sector Employment Around the World

“…This culture of innovation has the potential to lead to the development of one-of-a-kind tourism products, experiences, and services that appeal to domestic tourists, which in turn will drive growth and employment opportunities within the sector. Moreover, empowered employees demonstrate a sense of ownership and responsibility for their work, which motivates them to be proactive, efficient, and focused on delivering results (Gençer and Gençer, 2020;Spyridou, 2019). This increased productivity translates into improved operational efficiency within tourism businesses.…”