Creating Your Own Survival Guide to Becoming an Employee Downsizing Survivor

Abstract

This research investigates how employees’ motives and behaviors can affect their chances of becoming a downsizing survivor. Drawing on resource allocation and social exchange theories, we propose a serial mediated relationship between self-concern and employee downsizing survival via creativity (i.e., incremental, radical) and, in turn, job performance. This conceptual model is tested using a unique four-wave, three-source dataset (n = 186) where data were serendipitously collected months before a major unexpected layoff. Linking this survey research to data that identified those who were downsized revealed that self-concern exerts (a) a positive, indirect effect on employee downsizing survival via incremental creativity and subsequently job performance, and (b) a negative, indirect effect on employee downsizing survival via radical creativity and subsequently job performance. Theoretical and practical implications of how employees’ motives and behaviors can provide opposing influences on their downsizing fate are discussed.