Final answer:
HR planning for staffing changes should minimize layoffs by eliminating vacant positions or transferring staff, and investing in human capital to enhance productivity and workforce stability.
Step-by-step explanation:
When dealing with staffing changes due to an improvement project, especially during economic fluctuations like a recession, there are strategic steps to consider in human resources planning. It is important to avoid precipitous actions such as layoffs based solely on most recent performance reviews or seniority, since these can lead to loss of talent and incur additional costs when demand picks up again. Instead, organizations might eliminate vacant positions or look for ways to transfer staff to other departments where they may be needed more. These strategies help maintain a stable workforce and avoid the disruption of hiring and training new employees if the market improvement is sustained. Additionally, investing in human capital through education and skill-building can increase productivity and retention, thereby benefiting the economy and the company in the long run.