Bumping

When a company downsizes or restructures, senior-level employees whose position has been selected for elimination are given the opportunity to remain with the company in another position of lesser seniority. In situations where this happens, it is known as ‘bumping.’

If a highly paid professional is bumped down financially, it may not make sense to take on a lower-paying job with less job security. If a person has transferable skills and experience within the organization, they may consider bumping. However, if they plan on working only for a short time at the new company, they may be better off seeking new opportunities elsewhere.