Layoffs are an uncomfortable time for everyone within an organization. They can lead to employees left behind fearing that they’re next, becoming demotivated, and quitting before they get laid off, too.
Then there’s always the risk that even though an employee has been laid off, some of their responsibilities still need to be fulfilled by whoever is left. This change in someone’s workload can increase their stress, meaning they’re at risk of burning out and possibly even quitting.
So, let’s explore how to handle layoffs so that you can keep your employees motivated. Plus, learn how to manage the process in an emotionally intelligent way.
Be upfront
This will be a difficult time for your employees. Anyone left behind will have survivor’s guilt, while those being laid off may feel angry, bitter, or confused. Especially if they have to stick around for a while before leaving.
The more clearly you communicate what’s happening to employees, the easier the transition will be on everyone.
For instance, consider addressing questions like:
- Will this be the only round of layoffs?
- Why were these roles chosen?
- What does it mean for those left behind? What’s the new direction/way of doing things to fill the gap left by departing employees?
The more you address difficult questions, the more employees will trust you.
If you dodge questions or get defensive when someone asks you something uncomfortable, employees are going to think you have something to hide. So then their trust in you and the business will decrease. Followed by your employee performance.
Encourage free speech
Employees should be able to speak up and say if they disagree with a decision. Even if their opinions won’t change the overall outcome, you should still hear them out.
Otherwise, you’re likely to have layoffs followed by employees left behind resigning en masse because they feel invisible or undermined.
Let employees get out their emotions and challenge leadership. It won’t be comfortable, but, provided leaders and HR handle things in a diplomatic way, it will create a far better environment than if employees don’t think they can share their opinions.
If employees feel silenced in terms of what’s happening within the business, or afraid to share their opinions, they’re less likely to feel like their experiences and opinions matter.
So they’ll take fewer risks and switch to autopilot mode.
Meaning you risk making less money and having to make more layoffs in the future.
You could set up an ERG where employees can communicate their feelings, or send out a feedback survey to gauge employee sentiment. Whatever you choose, Workrowd can help. Book your free demo to discover how we work with organizations to streamline employee feedback.
Do it once and do it well
Regular rounds of layoffs create a culture of fear within an organization. Your high performers are going to be more tempted to leave in case they get laid off too—especially if they don’t qualify for any severance pay. And those who stay aren’t going to put their best effort in because the hopeless atmosphere that comes alongside layoffs will demotivate them.
To avoid obliterating your employees’ motivation, you need to do one round of layoffs. Not a trickle of them.
Even if it means more people go at once, one round of layoffs draws a clear line under the process and means those left behind can feel confident that their job is secure.
Offer support to laid off employees
What support could you provide your laid off employees to help them with the next stage of their careers?
This isn’t necessary, of course. But it will set your business apart from the competition and help maintain your employer brand.
Failing to support employees who are leaving could result in negative reviews on sites like Glassdoor. Which then means that when you look to hire in the future, you could lose out on applicants because the negative reviews about your company culture turned them off.
Could you provide coaching, mentoring, an ERG, or other networking and skill development opportunities? This can help them navigate the difficult space they’re in and look ahead to their next step.
Help those left behind
As discussed already, those left behind are likely to suffer from a form of survivor’s guilt.
To continue getting the most from them, you need to offer support to help them deal with these emotions and re-prioritize their workloads.
A workplace coach or mentor can be particularly beneficial here, as they can help employees see things from an objective point of view and share previous experiences.
Likewise, an ERG could allow employees to express how they feel in a safe space. It may even be beneficial here if leaders don’t participate. That way employees feel safer voicing their opinions and blowing off steam.
Don’t force team dynamics
Your team dynamics are going to suffer after layoffs. It’s inevitable.
So don’t immediately force team building activities onto employees left behind. They’re going to feel uncomfortable doing it but unable to say no in case those challenges put them at the top of the laid off list for the next round.
Everyone is going to feel fragile and possibly unsociable for a while. Don’t act like this isn’t happening as it will only make things worse. You need to read the room if you want to ensure your team members continue to perform at their best.
Conclusion
No one likes layoffs, whether that’s the leaders deciding who’s going, those being laid off, or those who get left behind. But sometimes they’re an important part of a business’s survival.
To further help the business survive, leaders need to take accountability and be open with their employees about what’s happening and what it means for everyone. This openness will help support the fractured dynamics within the business, preventing them from spreading and damaging business performance further.
If you want to ensure your team can thrive before, during, and after layoffs, Workrowd can help. From keeping employees in the loop, to bolstering company culture, we have the tools you need. You can even use the platform to set up a space for laid off employees to stay connected after the fact.
Sound useful? We thought so. Drop us a note to learn more and see how we can help you support everyone to be at their best.