Cost-cutting - CiteHR
Reshma Hadshi
Hr - Generalist
Kaushik Kapadia
Purchase, Ppc
Manager - Hr Excellence
Payal Gade
Employee Relations...
Doing Job As Officer Hr
Human Resources
+1 Other

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Dear All,
Can anyone let me know in which areas HR should implement cost-cutting in the organisation.
As we all know that cost-cutting in admin areas like staionery, travelling tel. bills etc. it's possible but would like to know the other areas too where ONLY HR can implement the cost cutting.
Thanks in advance!!!
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Dear Reshma,
HR can implement Cost Cutting in the following area:
1) Stop Chain Mails
2) Reduce that electricity cost and consumption can be reduced.....
3) Reduce recruiment or stop for this moment as the market is very low...
4) Stop the downloading of documents or softwares by employees from internet as it charges more to the company.....
5) Reduce the Travelling for Vice Presidents, GM's from flights to trains....
Hi Reshma,
We are all talking about cost cutting within the HR Administration Domain and partly Recruitment.
But isnt HR also not about Operations?
1. HR activities can be outsourced to an agency that would not require companies to have 2-3 staff doing the same work.
Without realising, companies also incurs expenses on this staff with regards to their telephone, electricity, office space, holidays, etc etc
2. Depending on your organisation type you can reframe your recruitment activity. For eg: Pharma companies, education establishments are hiring more and more instead of a reverse phase as we all assume
3. Training and Development activities can be conducted only as and when needed and for the Genuine few.
I hope these points help.
Greetings of the Day !
As HR, the department is responsible for cost cutting not only in HR but in other departments too. Following can be of help for the same :-
1. Use of recycle paper.
2. Minimisation of print outs.
3. Avoid extenal consultants for recruitment.
4. Something, that can be done elctronically instead of manual like e-salary slip, e-manuals, e-application etc.
Rest all depends on the type of organisation.

You can cutshort the weekend and late working hours lunch and dinner allowances.Also you can stop the annual day or birthday party and other entertainment allowances for current year.Also travel reimbursement charges for night stay or weekend workings also can be cancelled now.
Specifically mention the employees about the current situation clearly.
I am a strong beliver that nothing can be achieved by only creating rules and stringent regulations. It is the attitude of a person and a community that decides the success and failure of any new activity. So make employee understand improtance of their role in this activity....
Few suggestions.
  1. Ask all employees to switch-off monitors, lights, AC, fans when they are not on their seat and during lunch and snacks breaks.
  2. Switch of all lights, AC and fans when,
  • entire bay/bays are empty.
  • conference call/meeting/discussion is over in Conference Room.
  • in the morning when employees are yet to come to the office.
  1. Minimize use of office stationery (print-papers/cartridges/notepads) and services (phone calls, conference room chatting etc.)
  2. Use of drinking water, tissues, tea and coffee without wasting.
  3. Avoid unnecessary, random use of internet for irrelevant purpose

Dear Manisha You are working as HR Associate can you tel me what is exactly Associate on roll Or offroll or any tihk in ? regard’s Shailesh:-P
Hi, :confused: Is there any body who knows about Higere production at lower cost? if yes please guide me. Kishor
Before implementing cost cutting measures, u have to think in terms of welfaare/service angle otherwise it leads to dissatisfaction among the employees, however, it is better to call for suggestions from the employees duly indicating the amount likely tobe saved.
The area where the cost cutting methods can apply is
1) Transport, Canteen, Stationery, Recrutiment thru job sites instead of advt.
housekeeping, telephones, xerox, house-keeping, contracted services and elctricity bills etc.
thank you
m p ramarao

Hi Reshma, This is really good question, Any changes in the market, organization eyes will falll into HR and mgmt try to do some exercises on how to reduce cost? The onyl reason is HR has been working all the time as a support and nothing Strategic, tat is the stron g reason why organization feels HR as incapable. To answer your question. Costcutting In HR Can be done by following inputs.
  • Hire Recruiters/HR as fixed time employees, so any changes in market you can roll them back immediately.
  • Identify performers in there respective stream and train people on different functional areas in HR, so if there is any change in the market we can reduce the team size immeidately by job rotation.
  • Recruiter to be more strategic in hiring people instead of going by numbers and personal interviews to be entertained for local guys instead of telephonic interviews.
  • Control on average hikes and recognizing the potential candidates based on there performance and to give them perks.
  • Hard bound policies on travel and other day -day opeartions can reduce the cost.

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