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Public Sector Downsizing: Issues and Tools


Materials

Presentation (17Kb)

Thursday April 22, 2004 
2:00 - 5:00 PM
Speaker: Martin Rama (EASPR)

This course provided an introduction to public sector downsizing and the key issues that task managers should consider when designing such an operation. In doing so, recent research on downsizing in developing countries was presented, and the findings were summarized under the form of a decision tree.

A more hands-on tool, the Downsizing Options Simulation Exercise (DOSE), was also be presented. This Excel- based application allows the simulation of downsizing operations involving almost any combination of early retirement and severance pay programs. Based on individual records of public sector employees in the unit or enterprise to be restructured, this tool predicts the acceptability of separation offers, the composition of stayers and leavers, the cost of the downsizing operation, and its financial and economic returns. The course used a DOSE model with an enhanced gender dimension, accounting for the different impact downsizing may have on male and female employees.

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For more information on public sector downsizing go to the World Bank's Shrinking Smartly: The Public Sector Downsizing Clearninghouse.