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`Downsizing cos should look into social issues'

Our Bureau

BANGALORE, Aug. 15

WHEN companies undertake downsizing in the country, they should remind themselves that there is no concept of social security in India, unlike the West, emphasised Mr Niroop Mahanty, Vice-President, Human Resources Management, Tata Steel.

He was speaking at a programme on `People-related challenge' in Bangalore.

Making a presentation on Tata Steel's attempt at downsizing from 80,000 in 1993 to 48,000 in 2001 -- he said the company had to shake off its legacy of paternalism and it was no mean task.

``The only way to do it effectively and without any ill-will is by preparing the ground through intense communication.''

Some of the other speakers at the CII-sponsored programme were Mr R.R. Nair, Advisor, Organisational Development and Head of Business Group Training, Hindustan Lever Ltd (HLL), Mr H.N. Srinivas, Vice-President, Corporate Quality, Taj Group of Hotels, Mr K. Murali, Director, Human Resources, GE International and Mr Dileep Ranjekar, Corporate Executive Vice-President, Human Resources, Wipro Ltd.

Mr Nair of HLL recommended all managers to learn from the Pearl Harbour experience of the Americans.

``They had the best of manpower, defence equipment and were all ready to fight a battle, but were unfortunately caught napping.'' He said what a company needs is an alert manager.

He expressed the view that as far as campus recruitment was concerned, HLL had not focussed on its own brand health. This should be fortified, he recommended.

Mr Ranjekar spoke of how Indian companies celebrated cheap labour, fed peanuts and, therefore, got monkeys. He explained how we could come closer to global standards of compensation and benefits, how we could demand higher productivity and pay more to ou r people.