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Everybody Is in It for Themselves: Organizational Communication and the Lasting Effects of Involuntary Job Loss in an M&A Context

Ekhem, Anna LU ; Israelsson, Tuva LU and Sauer, Philippa LU (2026) IBUH19 20261
Department of Business Administration
Abstract
This study examines how organizational communication during an acquisition shapes the involuntary job-loss experience of redundant employees. Through a qualitative case study of Omega's acquisition of Sigma, drawing on semi-structured interviews with seven former employees, the study applies psychological contract theory and sensemaking to analyze how communication before, during, and at the moment of exit affected how redundancy was experienced and retrospectively understood.
The findings reveal that information suppression drove collective speculation and left employees professionally unprepared when redundancies were confirmed. Despite the exit being delivered through an autogenerated email, the emotional response was relief rather... (More)
This study examines how organizational communication during an acquisition shapes the involuntary job-loss experience of redundant employees. Through a qualitative case study of Omega's acquisition of Sigma, drawing on semi-structured interviews with seven former employees, the study applies psychological contract theory and sensemaking to analyze how communication before, during, and at the moment of exit affected how redundancy was experienced and retrospectively understood.
The findings reveal that information suppression drove collective speculation and left employees professionally unprepared when redundancies were confirmed. Despite the exit being delivered through an autogenerated email, the emotional response was relief rather than distress, as the consequences had already been processed during months of uncertainty. Most significantly, the experience produced a lasting shift from organizational loyalty toward a self-protective and transactional orientation to employment. The study also identifies two forms of retrospective rationalization through which emotional resolution becomes possible, and demonstrates that violation can be emotionally processed prior to formal breach. (Less)
Please use this url to cite or link to this publication:
author
Ekhem, Anna LU ; Israelsson, Tuva LU and Sauer, Philippa LU
supervisor
organization
course
IBUH19 20261
year
type
M2 - Bachelor Degree
subject
keywords
involuntary job loss, organizational communication, mergers and acquisitions (M&A), psychological contract, sensemaking, redundancy, employee experience
language
English
id
9243558
date added to LUP
2026-06-25 11:59:04
date last changed
2026-06-25 11:59:04
@misc{9243558,
  abstract     = {{This study examines how organizational communication during an acquisition shapes the involuntary job-loss experience of redundant employees. Through a qualitative case study of Omega's acquisition of Sigma, drawing on semi-structured interviews with seven former employees, the study applies psychological contract theory and sensemaking to analyze how communication before, during, and at the moment of exit affected how redundancy was experienced and retrospectively understood.
The findings reveal that information suppression drove collective speculation and left employees professionally unprepared when redundancies were confirmed. Despite the exit being delivered through an autogenerated email, the emotional response was relief rather than distress, as the consequences had already been processed during months of uncertainty. Most significantly, the experience produced a lasting shift from organizational loyalty toward a self-protective and transactional orientation to employment. The study also identifies two forms of retrospective rationalization through which emotional resolution becomes possible, and demonstrates that violation can be emotionally processed prior to formal breach.}},
  author       = {{Ekhem, Anna and Israelsson, Tuva and Sauer, Philippa}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{Everybody Is in It for Themselves: Organizational Communication and the Lasting Effects of Involuntary Job Loss in an M&A Context}},
  year         = {{2026}},
}