Can the merger of two companies affect employees in a negative way?

Question

We just found out yesterday that our company is going to be merging with another company, so we will eventually be going under the name of the new company. They went over some things in the meeting, but I am still unclear as to how the employees will be affected. They stated that the purpose of this merger is to promote growth, not decrease the workstaff. However, they also said the infrastructure will be reviewed and any redundancies would be addressed. I am thinking that means if they find they have duplicate people doing the same position, they will eliminate some people.

Has anybody been through this before? What are some of the pros and cons?

Answer 1

If you are in the uk this is a good site to look.

http://www.direct.gov.uk/en/Employment/E...

Answer 2

Of course the companies both have accounting dept's, and head management and other stuff.  The new company will only need one of these so expect some layoffs in those areas as the 2 dept's are combined.  If the companies do the same of similiar stuff then they probably won't need all the salespeople and line workers either so some of those will be eliminated too.  Still, most of the acquired company and almost all of the aquiring company will probably be kept around.  Hard to go into more detail of the pros and cons without knowing the specifics of why this merger is occurring - they happen for all sorts of reasons, some good - some not so good.

Answer 3

Would cost people of the old company a lot of jobs. When a company buys another they come in and get rid of people to make place for their employees from other locations. Pros are it might give some a new chance to move up in new company.