2. PRUNING AND POACHING
Pruning: -According to Merriam, the verb “Pruning” means to reduce
especially by eliminating superfluous matter, to cut off or cut back parts of,
for better shape or more fruitful growth.
Poaching: - Employee poaching (talent poaching) or job poaching is the
recruiting of employees who work at competing companies.The term
"poaching" is associated with illegal hunting, but job poaching isn't, for the
most part, unethical or illegal and can help to ensure a competitive job
marketplace.
4. DISADVANTAGES OF PRUNING
Laying off employees can create an environment of uncertainty for remaining
employees. In many cases, retained workers are required to pick up the slack of
their former co-workers, which can result in poor morale, concern over job stability
and overworked employees who may be more prone to mistakes. Laying off
employees can also have a negative impact on levels of customer service.
https://bizfluent.com/info-11415369-advantages-disadvantages-laying-off-employees.html
5. IS POACHING LEGAL OR ILLEGAL?
Yes, It is legal. It’s disappointing when one of your top employees hands in their two
weeks’ notice. It’s even more disappointing when you find out that they were
targeted by one of your main competitors.This recruitment tactic is so prevalent
that there is a name for it: employee poaching.While some may say that this
recruitment tactic is unethical, it is legal
6. Can a competitor sue for poaching their employees?
While employee raiding isn’t illegal in and of itself, the offense is often associated
with other illegal business practices, such as violation of non-compete
agreements or the theft of trade secrets.
Employers may ask the courts for an injunction to stop the improper competitive
activity and pursue actions (such as a lawsuit) to recover financial damages if a
non-compete agreement is violated or if protected trade secrets have been
misappropriated and used against them.
7. POACHING IN INDUSTRY
98 per cent of employers approach candidates who aren’t actively considering a
new role when recruiting.That means almost every employer looks at not only
those searching for a new role, but also talent residing in other organisations.
Talent poaching isn’t a new phenomenon – headhunting has been a common
feature of the hiring practices for decades – but changes in the talent landscape
and a hyper-focus on skills shortages have kicked the practice into overdrive.
https://www.hchlawyers.com/business-litigation/employee-
poaching/#How%20Do%20I%20Stop%20Competitors%20From%20Poaching%20My%
20Employees?
8. THREE WAYS USED BY COMPANIES
Use no-poaching agreements with caution
Companies that enter into such an agreement make a pact not to poach from each
other – but this could mean that employees themselves are more limited in their
choices if they do decide to move to a competitor of their own volition.
Consider a non-compete clause
Companies might find more success with a different technique to poach
prevention: non-compete clauses.
A non-compete agreement can limit a worker’s ability to start work at a competitor
for a set period after leaving an organisation, and even from starting up their own
business in the same industry.
https://www.hrmonline.com.au/section/strategic-hr/talent-poaching-on-the-rise/
9. Prioritise retention of your existing employees
No-poaching agreements and non-compete clauses are back-up options for
retaining talent.The predicate of a poach-proof workforce is a happy workforce –
and a more talented team.
https://www.hrmonline.com.au/section/strategic-hr/talent-poaching-on-the-rise/
10. CASE STUDY
Company Name: - Sheetal Structural Pvt ltd
Date: - 24-Dec-2014
Resignation from one head of Production & Planning Department and 2 from
other departments.
Approached by emerging competitor in Ghaziabad, National Capital Region.
CEO of competitor company declined SSPL’s request for Anti-Poaching
Understanding and refused to withdraw the offer made by the company to three
employees of SSPL.
https://www.academia.edu/40418734/EMPLOYEE_POACHING_A_CASE_FROM_SHEETAL_STRUCTURALS_PRIV
ATE_LIMITED_Global_Summit_on_Management_Cases
11. FINDINGS
Lower compensation as compared to the industry standard
Well informed and capable managerial and technical staff
HR weakness
Career growth aspirations
12. CHALLENGES FOR MANAGEMENT
Management Business as Usual Operations
RetainingTalent
Pressure to Maintain System
Production Commitment
