A Study on the Impact of Human Resource Cost Reduction Strategies on the Employee Performance in the Semi Government Organizations in AbuDhabi, UAE

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The British University in Dubai
In the most competitive and stimulating current world, the UAE has earnt to place herself in a revered spot in all rounds, nonetheless, every organization and the management consistently initiates to accelerate employee productivity in all means. However, at times to face the turbulent times, companies may vehemently decide to cut the human resource cost; consequently, there may be a change in workforce productivity which was intended to cover in this research. This research aimed at three research questions directed the investigation concerning level of impact of cost cutting strategies on the employee performance. Hence, the researcher administered 120 randomly selected mid managers and superintendents from a randomly semi government organization in UAE. The findings from the multiple regression implied that the downsizing as a cost reduction strategy has significant negative effect in employee performance; while the strategies like outsourcing, talent management and process management has positive influence on the employee performance. Thus, the study reveals that not all cost reduction strategies provide negative impact on productivity; unless its unscientific effort; similarly, descriptive statistics results from the ANOVA and t-test revealed that the demographic profile of respondents has no effect on any of the components constituting cost cutting strategies on the employee performance. The study provides implications for the groundwork of hr managers, management, government, academicians and future researchers.
human resource, cost reduction, employee performance, United Arab Emirates (UAE)