Section Oneemployability approach. In the aftermath of General Electric’s
workforce reductions of 25 percent, there was recognition by its
chief executive officer (CEO) Jack Welch that the company
would have to attract quality employees with desirable achieve-
ment opportunities instead of job security policies.^19 Welch, who
was widely regarded as one of the most visionary and effective
CEOs, was strongly criticized for his actions as indicated in the
following passage:
Welch says that when he took over, the need for
change was obvious, and he moved quickly. He
was vilified as heartless in his zeal to reshape the
corporation by eliminating jobs, earning himself
the nickname “Neutron Jack.” When Welch left a
GE facility, the story went, the building was still
standing but the people were gone.^20Interestingly, Welch stated that strong managers, like
him, produce the only real job security in the current
environment. His rationale was that such managers make the
major structural changes necessary to increase their
companies’ competitiveness and ultimate survivability, often
through the elimination of unneeded jobs. Conversely, he
argued that weak managers, who do not take such actions,
endanger the competitiveness of their companies, ultimately
causing the loss of jobs.^21