By Michael Gunther

Layoffs. There, I wrote it. They’re never pleasant, no matter the reason — not for owners or for employees or for the person communicating the layoff. Layoffs, by their very nature, are emotional events. And as we know, humans are emotional beings. So as business owners or managers, how do you deal with the emotions that come along with layoffs? How do you preserve relationships, both with the employees you layoff and with your current employees? How do you maintain a positive image and reputation in the midst of layoffs?


Be responsible

Don’t play the blame game – be responsible. Inform the employee of the facts behind the layoff – whether it relates to the economy or the company’s overall performance. For example, you may discuss steps the company has taken to avoid layoffs, and how this is a business decision necessary for the company’s survival.

State the facts, keep it basic, and allow the employee to respond, which will lead to the grieving process.


Be empathetic

The layoff of an employee is felt as a loss. With any loss comes the grieving process, which consists of five steps: denial, anger, bargaining, depression, and acceptance.

All persons affected by the layoff will go through some level of grieving in their own way, depending on the amount of loss they feel. As a leader or business owner, it is important to understand the grieving process, allow employees to express themselves, and empathize and show sensitivity toward their feelings – whether they are the one being laid off or not.

When people leave, it changes the dynamics of an organization. People feel frightened for their own job security, concerned for the person who lost their job, and sometimes guilty because they are still employed. By simply offering ongoing and open communication to your active employees, you can be proactive in acknowledging and addressing their concerns too.


Offer guidance and resources

It is important to let the employees who are getting laid off know that you care about their well-being. There are many ways to communicate this to the employee and assist them through their transition. For example, keep in touch with the former employee to check in and see how the job search is progressing. Offer to be a reference, and even send a written letter of reference. These actions will go a long way and can allow the former employee to maintain a positive view of the company.

Since most people do not know what to do once they lose their jobs, you can provide them with resources, such as a list of local career centers and employment agencies or tools to help them claim unemployment insurance. Although you may not be able offer a severance package, you can consider providing a one-hour session with a career coach or maybe you can pay for them to attend a resume writing workshop.

Bottom Line

When your company is forced to make tough decisions regarding layoffs, maintain healthy employee relationships and your company’s positive image and reputation by tapping into the human element. Take time to listen to your employees and show them that you truly care.

Let’s Talk

Something’s not right with your business. You know it, your team feels it and maybe it’s trickling down to your clients too. Whatever issues you’re facing, let our friendly, smart, intuitive team give you the tools you need to elevate your business. Give us a call, send an email, or meet us out for coffee or a cocktail. Let’s collaborate to create a successful business!

{We Are Here to Help} Read Our Recent Whitepaper About 'Managing Your Business Through Uncertain Times'Download here!
Share This