What is the meaning of the word "downsize"?

Definitions:

  1. dismiss from work copy to clipboard verb
    • three secretaries were downsized during the financial crisis copy to clipboard
  2. make in a smaller size copy to clipboard verb
    • the car makers downsized the SUVs when fuel became very expensive copy to clipboard
  3. reduce in size or number copy to clipboard verb
    • the company downsized its research staff copy to clipboard