This company, based in Western Europe, is a major producer of specialty chemicals and related consumer products, supplying innovative products to industries and consumers worldwide.

Over 50,000 employees work in over 80 countries. Despite previous success, the company is now operating in a very difficult market where significant organizational change and downsizing is a business reality. As a result, employees' jobs are no longer safe. In addition, due to the current economic downturn, there are very few opportunities for alternative employment. As a result, despite the company's need for downsizing, few employees leave on their own.

On the plus side, employees receive a very generous employment package, including significant severance payments if they are laid off. The latter is due, in part, to local legislation establishing minimum payment requirements, and in part, to trade union efforts that recognized the firm.

Although trade union membership is low, their influence is significant because they collaborate with the firm to ensure employee support.

The firm's history has been defined by a focus on individual product brands that are well-known throughout Europe. In recent years, however, the emphasis has shifted from the level of the product brand to the level of the firm's overall identity in order to deal with increased competition.

Global corporate brand recognition is growing, but not at the same rate as many traditional product brands.

Despite some co-location, different parts of the business operate quite independently due to the history of the product brand. Employee transfers between business units are thus uncommon.

Employee engagement in this firm is defined as a combination of dedication, hard work, optimism and constructiveness, and teamwork. It is also viewed as a two-way street in which employees expect something in return for their involvement, such as work–life balance.

Work engagement levels are reported to be moderately high, with equal emphasis on behavioral willingness to take initiative and learn on the job, as well as emotional attachment to the work.

Organizational engagement (defined here at the product brand business unit level) is slightly higher than work engagement, particularly in terms of behavioral factors such as willingness to go above and beyond to see the product brand succeed.

Providing development opportunities and constructive performance management are two HRM practices that can boost engagement.

In the past, communication and involvement were viewed as important ways to increase employee engagement, with intrinsic motivation also being regarded as important.

In general, once a person joins this firm, they are likely to stay for a long time, with the majority of the workforce having served for more than twenty years.

This is aided in large part by the generous compensation package, as well as strong brand loyalty.

However, due to their long tenure, most employees have already reached the top of their salary scale (as determined by a collective bargaining agreement), making financial incentives to improve performance difficult to offer. 

1. In this case, what job resources and job demands can be identified that may be contributing to engagement levels? 

2. How might the company go about ensuring that levels of employee engagement are maintained or increased at both the work and organizational levels as it shifts its focus from multiple product brands to a single global corporate brand? 

3. How can a company like this increase employee engagement when additional financial incentives aren't an option? 

4. What effect do you think it will have on the engagement of remaining employees when their coworkers are laid off involuntarily across the organization due to downsizing requirements? How can any negative consequences be reduced? 

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1 The significant benefits and high remuneration improve the companys employee engagement Similarly ... View the full answer