An Exploration into the Socio-Economic Effects of Retrenchment: Evidence from Nigeria

Abstract

This study examined the socio-economic effects of retrenchment on retrenched individuals, their families and the society at large. A survey, with structured questionnaires, was administered to 250 retrenched workers that cut across the civil service, banking and the manufacturing sectors in Nigeria. The statistical package for social sciences (SPSS) was employed in data analysis, and it was found that the retrenched employees were not equipped with the skills to enable them face unforeseen challenges after retrenchment. Consequently, many of them become incapacitated, idle, and unproductive. The study also revealed that retrenchment has detrimental effects on families and the society. The research recommended the adoption of valuable strategies for staff management in organizations and government to enable them to abate the effects of retrenchment.

Keywords: Retrenchment, Socio-Economic Effects, Families, Society, Nigeria