Ethics of downsizing

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When shareholders increase their wealth through downsizing, does this come, to some degree, at the expense of loyal employees---those who have worked diligently to serve the firm in terms of accomplishing its vision and mission? If so, what actions could be taken to be fair to both shareholders and employees when downsizing or "smartsizing" a firm's employment ranks? What ethical base would you employ to make decisions regarding downsizing?

Reference no: EM1325583

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