Fundamentals of Human Resource Management 5th Edition by Raymond Noe, John Hollenbeck, Barry Gerhart, Patrick Wright

Exercise 3

Trimming More Than the Fat
Getting lean improves an organization's efficiency and makes it stronger for the long haul. But some organizations are so desperate to cut costs that they don't just get lean, they starve themselves of important human resources.
That happened at a technology company in Texas. The company kept laying off employees in its design department until one interactive designer who remained was handling what she saw as the work of three designers. She also managed many of the company's web projects.
The employee was afraid to quit during a slow economy, but she was burning out from the strain of falling behind in spite of constant overtime and taking work home. Eventually she could no longer keep quiet, so she gave her supervisor the choice between promoting her to art director or dividing up the work among more people. The supervisor gave her the promotion (with a small raise) and began authorizing the employee to contract for help from a freelancer.
Companies that downsized during the recent recession may find themselves making more such bargains. Employees who feel exhausted and unappreciated are beginning to indicate that they want to leave their employers to find better jobs. The ones with the best chance to get a better offer are likely to be an organization's most valuable people.
Besides layoffs, how else might the design department respond to a decline in demand?