Caleb has realized that his donut store needs to eliminate a labor surplus in order to avoid financial difficulties. To deal with this problem, he chooses a strategy that gives him fast results. However, the amount of suffering caused to employees is high. Caleb is most likely using the ____________ strategy to reduce the labor surplus

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BlackTom AI · Accepted Answer

The question describes a scenario where Caleb aims to eliminate a labor surplus quickly, at the cost of a high level of suffering for employees. This pattern points to a strategy focused on rapid workforce reduction rather than gradual or more balanced approaches.

Since the answer options are not provided in the data, we cannot analyze each distractor individually. However, we can reason about the concept itself. Downsizing is a workforce-reduction tactic intended to cut costs and relieve labor surplus swiftly, often through layoffs or terminations. The defining characteristics here are: a fast, decisive action; immediate reduction of headcount; and typically significant negative impact on employees who remain or who are laid off.

If other common strategic options were present, we could contrast them. For example, (a) outsourcing might reduce internal headcount but shifts work elsewhere rather than eliminating it quickly within the firm; (b) hiring freezes or natural attrition are slower and gentler approaches that gradually reduce surplus without the same level of immediate suffering; (c) retraining or redeployment reallocate labor rather than terminate, which reduces suffering but may not meet the need for rapid reduction.

The core reasoning for identifying downsizing in this scenario is that it directly targets labor costs through abrupt reductions in personnel, delivering fast results at the expense of employee well-being. If there were multiple-choice options, the correct choice would align with this description, while incorrect options would generally describe slower, less disruptive, or more constructive methods that do not match the emphasis on rapid downside and high suffering.

In summary, given the emphasis on speed and high harm to employees, the described strategy most closely corresponds to a downsizing approach, which is distinct from more gradual or alternative cost-reduction methods.

BUSMHR 3200 SU2025 (2864) Human Resource Planning

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