Workforce Restructuring
Mercer: Workforce Restructuring for a Global Consumer Goods Company (United States)
Challenge: A global consumer goods company faced declining profitability and needed to restructure its workforce to improve efficiency while minimizing disruptions to business operations.
Solution: Mercer developed a workforce restructuring plan that included voluntary retirement programs, employee re-skilling initiatives, and redeployment strategies. They also introduced a new performance management system to better align employee goals with the company’s strategic objectives.
Key Success Factors: Clear communication with employees, supportive redeployment strategies, and performance-based restructuring.
Impact: The company reduced its workforce by 15% without major disruptions and improved operational efficiency, resulting in cost savings of $50 million annually. The re-skilling programs prepared remaining employees for new roles, fostering a culture of adaptability and long-term sustainability.
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