Layoffs Leave Lingering Impact

September 17, 2001 (PLANSPONSOR.com) - A new report finds that after a major downsizing, employees who survived were more than twice as likely to take sick leave than after a minor cutback and experienced a nearly sixfold increased risk of taking sick leave for musculoskeletal-related reasons.

Perhaps more significantly, the increased risks of poor health among remaining employees were evident even 4 years after the downsizing occurred, according to the report.

Those conclusions were included in a report presented recently during the 16th World Congress on Psychosomatic Medicine in Goteborg, Sweden, by researcher Dr. Jussi Vahtera of the Finnish Institute of Occupational Health.

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Vahtera and his colleagues reviewed employer records for 764 Finnish employees who remained employed during a period of major downsizing, according to Reuters Health.

Stressed “Out”

Workers who survived a major downsizing were 2.5 times more likely to rate their health as poor, to report new musculoskeletal symptoms and to have severe musculoskeletal pain than employees who survived a minor downsizing, according to the report.

The researchers said that possible explanations include:

  • increased stress due to a greater workload
  • more job insecurity
  • stress caused by a decreased ability to participate in decision making.

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