CNNMoney.com
Companies Economy International Corrections Pre-market Trading After-hours Trading Winners/Losers/Actives Bonds Currencies Commodities World Markets Money Magazine Real Estate Mutual Funds Taxes Ask the Expert Money 101 Autos Loan Center Best Places to Live Ask the Expert Millionaires in the Making Ultimate Guide to Retirement Retirement Calculators Best Funds Ask the Mole Best Places to Retire Personal Tech Big Tech Blog Techland Blog Sectors and Stocks Fortune 500 Techs Tech Talk 100 Best Places to Launch Ultimate Resource Guide Small Biz Makeovers FSB 100 Ask & Answer Fortune 500 Technology Investing Management Rankings Main Create Portfolio Edit Portfolio Create Alerts Edit Alerts
Oh, never mind: Firms rehire staff
Survey shows 13% of companies brought laid off workers back into the fold last year amid talent shortage.

NEW YORK (CNNMoney.com) - Changing attitudes in corporate America and a talent shortage are boding well for laid off employees as companies are rehiring their former staff, a study released Wednesday showed.

Thirteen percent of employees let go in a downsizing -- or about one out of 10 workers surveyed -- were later rehired by the same employer last year, according to a survey conducted by Right Management, a unit of employment firm Manpower.

With a shortage of talent, especially at the managerial and executive levels, more companies are rethinking their attitude toward former employees, the survey found.

"Employers view rehiring former employees as less risky in terms of making a bad hire. A former employee let go for non-performance reasons is a known quantity who has already proven to be a good cultural fit with the organization," Eileen Javers of Right Management said in a statement.

The survey found that 54 percent of employers are at least occasionally rehiring former employees who were displaced by earlier cutbacks. However, some firms are still reluctant to take back old workers. Forty-six percent of organizations surveyed said they rarely hire back former staff.

The findings of the survey also show that entrepreneurship remains an attractive option for many who have been cast off. Last year, 21 percent of laid off employees started new businesses, about the same percentage as in 2004.

The consulting firm surveyed more than 14,000 displaced employees from more than 4,900 organizations in North America.

------------

Got a home office? Click here to check out 3 rules of home-office deductions. Top of page

YOUR E-MAIL ALERTS
Follow the news that matters to you. Create your own alert to be notified on topics you're interested in.

Or, visit Popular Alerts for suggestions.
Manage alerts | What is this?
© 2008 Cable News Network. A Time Warner Company. All Rights Reserved. Terms under which this service is provided to you. Privacy Policy
Copyright © 2008 BigCharts.com Inc. All rights reserved. Please see our Terms of Use.
MarketWatch, the MarketWatch logo, and BigCharts are registered trademarks of MarketWatch, Inc.
Intraday data provided by Interactive Data Real-Time Services and subject to the Terms of Use.
Intraday data is at least 20-minutes delayed. All times are ET.
Historical, current end-of-day data, and splits data provided by Interactive Data Pricing and Reference Data.
Fundamental data provided by Morningstar, Inc..
SEC Filings data provided by Edgar Online Inc..
Earnings data provided by FactSet CallStreet, LLC.