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When an employee is given less authority and fewer responsibilities as the result of a demotion, it is called reverse diversification.
What is demotion and why would anyone be demoted?
A permanent transfer to a job that is lower than the one the individual previously held is referred to as a demotion. In general, the new post will be less responsible, demand fewer skills, and pay less than the old one.
Demotions may be voluntary or involuntary and result from subpar employee performance, the termination of a post, disciplinary proceedings, or organizational reorganization. A firm may use a demotion to keep a valuable employee by reassigning them to their prior position. However, it's also possible that the employee won't accept the reduction in status, and if it was brought about by the employee's wrongdoing, it can give the impression to other workers that the company is lazy about taking disciplinary action.
Learn more about demotions here:
brainly.com/question/14286777
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