These days with deepening recession, one likely wakes up with a news that so-and-so is plan to lay off hundrds to thousands employees.  Lay-off seems the first choice that company would think of when the business faces hardship.

It is partly true that when business goes down, the management could immediately see that many positions are no longer required and people at those positions would be better to let go.  That will bring the cost down to match the income. In another word, to make the balance sheet even.

But is that the best way to weather the hardship? Fortune just reported on 9 companies that have never had layoff –in  good or bad time (http://money.cnn.com/galleries/2009/fortune/0901/gallery.no_layoffs.fortune/index.html).

These companies do things differently, but there is a common feature of their management: they do treasure their workforce. Even if is not for the sake of employees, one CEO was cited to say that layoffs is “counterproductive,” since they “erode morale, create fear and reduce productivity.” What the CEO did not mention there was that rebuilding an experienced workforce when business takes off is not easy either.

The difference between these CEO’s and others? These CEO’s see the companies as long-term businesses, the others see business as a monthly balance sheet.