Impact of Fallen Oil Prices on HR Policy
In my country, as a result of falling oil prices, a number of private and public-sector organizations (especially those in the resource sector) are reviewing their revenues, future budgets and workforce.
If your budget and/or revenues were being substantial impacted by the recent plunge in oil prices (>50%), what advice would you give to the CEO or the Board Chair, if you were the Senior HR Executive for the organization. Remember that it has taken years to build and create a talented workforce.
- Do you offer incentives for people to leave
- Layoff excess staff
- Reduce you discretionary expenditures
- Stay on the course in the short-term, or
- Find another path?
What course of action would you recommend? Do you think the global economy is going to recover shortly (next 6-12 months) or in the distant future (next 5 years)?