A STUDY OF HR ISSUES IN MERGERS AND ACQUISITIONS

Abstract

This project focuses on the issues that the hr faces when mergers and acquisitions takes place there are lots of problems at the time of mergers and acquisitions the problems related to the policies of both the companies, communication challenges as the companies combine or takeover the employees, the departments as well as the manager or the head of departments will changes due to no proper communication there will be lots of problems as there will be no clarity of whom to report the employees must be know about the decision of M&A. The other issue is employee retention this is one of the major issue or challenge in M&A retention results into negative attitude among employees. Organizations cultural issues are the most neglected one and a study conducted on mergers and acquisition shoes that 30% of them fail within three years.

This study focuses on the issues that the employees as well as the hr department faces when the merger and acquisition takes place. Mergers and acquisitions are a faster route to expand a business than the internal expansion but mergers and acquisition is much more riskier there are also many complications and many attempted corporate takeovers are unsuccessful. A definite exploratory research is done through the help of various websites over the internet to understand the problems the organizations face, suggestions to overcome them, etc. A questionnaire has been made by the researcher to study the topic and it has been answered by the different employees. Analysis of that information is done and the type of research is exploratory qualitative research.