What Is It Called When a Company Downsizes?

What Is Downsizing? Downsizing is the permanent reduction of a company's labor force through the elimination of unproductive workers or divisions. Downsizing is a common organizational practice, usually associated with economic downturns and failing businesses.

What is it called when a company gets rid of a position?

A "layoff" is an action by an employer to terminate employees for lack of work. ... A "downsizing" simply means releasing employees because the operation no longer needs them; reorganization or restructuring of the institution has eliminated jobs.

Is it lay off or layoff?

→ see also lay-off → lay→ See Verb tableˈlay-off, layoff noun [countable] the act of stopping a worker's employment because there is not enough work for them to doa layoff affecting more than 500 workersSome employees at the company are getting layoff notices (=letters saying they will be losing their jobs).