U.S. companies cut more aggressively in downturn

About 61 percent of U.S. employers told a survey they took four or more actions during the downturn among a list that includes hiring and salary freezes, layoffs, lower bonuses and limits on overtime hours, according to the report published on Tuesday.

For example, nearly three-quarters of U.S. employers surveyed laid off workers -- far above the global average of 51 percent who did so.

By comparison, 57 percent of employers in Ireland and Spain did layoffs, and fewer than half in Brazil, Towers Watson said. In China and India, large emerging economies that saw slowdowns but not outright recessions, only 12 percent of companies cut jobs; they faced fewer cost pressures.

The survey was conducted in May and June and includes responses from almost 1,200 companies from 23 countries, including 314 companies from the United States.

While layoffs and hiring freezes reduced costs for employers, they also introduced hard-to-quantify costs elsewhere.

Majorities of global employers said workers now face bigger workloads, are less able to manage work-related stress, and have a less-favorable work-life balance. About a quarter said their employees are more leery of taking risks or are simply less productive.

The report said one of the key challenges for employers emerging from recession will be how to respond to increasing worker demands for security, stability and opportunity. Such demands, the report says, are hard to satisfy.

"Wide gaps between what employees want and what they believe is attainable can lead to disenchantment with their current employer, an unwillingness to give discretionary effort on the job and retention risk," the report concludes.

The Towers Watson consulting firm was formed after Watson Wyatt Worldwide Inc completed its $4 billion merger with rival Towers Perrin Forster & Crosby in January.

(Reporting by Nick Zieminski, editing by Matthew Lewis)