IES director of HR research and consultancy Peter Reilly acknowledged that there is a high likelihood of the cutbacks resulting in dramatic slumps in employee morale, but insisted bosses who build good relationships with staff can maintain sentiment.
"This is a point that is really vital and likely to get neglected; you [need to] construct what the new deal is for the people that remain," he explained. "You've got to think about what the positive things you are offering to people are."
Mr Reilly suggested that managers who fail to communicate the changes in a positive manner run the risk of driving more employees away from their organisation.
Last week, the Chartered Institute of Personnel and Development warned that the government's estimate that it will cut 490,000 public sector jobs by 2014-15 misjudges the actual impact of reductions in spending.
Posted by Hayley Edwards
