Under the background of the capacity condensation in Chinese steel and coal industries, this paper focuses on the implementation of the arrangement policy towards the abundant employees in the State-Owned Enterprise (SOE). Taken a steel SOE in eastern China as example, I explore the policy implementation process in the first stage, finding that the policy target—downsizing 35% personnel—has been completed smoothly. Toned with the new competition system, this policy partly promotes the human resource efficiency. However, the enterprises compulsorily ask the employees to sign the agreement, which was initially planned to be voluntary in the arrangement policy process. The superficial reason of this twisted action is due to the index evaluation of personnel reduction from the SOE, but the root cause originated from the contradiction between two institutional logics—market logics and humanism logics—in the implementation process. The two logics compromise through danwei logic and market logic finally lead the direction of the policy outcome, although the existence of the danwei logic to some extents sacrifices the efficiency of the market logics.