Navigating restructuring is a challenging task for all parties involved. Announcing layoffs is particularly sensitive because of the human and professional impact. It’s not merely about communicating a decision; it’s also about supporting individuals through a significant turning point in their careers and lives. A poorly managed layoff can have lasting negative consequences on employee self-confidence, company reputation, and team morale. While no one takes these decisions lightly, there are ways to approach the communication with empathy and professionalism. And common mistakes that can really have a negative impact.
This article explores 3 common mistakes to avoid when announcing layoffs and offers thoughts for communicating with respect and transparency, even in challenging times.
MISTAKE #1: IMPERSONAL ANNOUNCEMENTS
A common error is delivering layoff news impersonally, through mass emails, visioconference, or group meetings. This type of communication can come across as detached, leaving employees feeling unvalued and rejected. It can also disappoint remaining team members, damaging trust and morale for the future.
Example: In 2023, Google faced backlash when it announced mass layoffs via email to thousands of employees without prior individual communication. Employees expressed feelings of detachment and disappointment at how the process was handled, even after years of dedication to the company.
Choose a Personalised Approach
Every employee deserves a one-on-one conversation, ideally conducted in person. An individual meeting allows their line managers to acknowledge contributions, provide clarity, and explain decisions with empathy. Even in cases of group layoffs, an individualised communication offers a chance to reassure the departing employees and signals the company’s commitment to treating people with dignity, even in difficult times.
TIP : Prepare a compassionate message: taking time to choose words thoughtfully can make a difference. Start by recognising the employee’s contributions and dedication. This acknowledgment can ease the impact of the news and convey that each team member matters to the organization. Communicate the decision and listening actively to the employee so that they can ask questions and share their feelings.
MISTAKE #2: LACK OF TRANSPARENCY
In times of crisis or reorganisation, withholding certain details may seem like a way to reduce the impact. However, unclear communication often fuels rumours and heightens insecurity among all staff. They can create tension and erode trust both internally and externally.
Example: In 2017, Uber faced intense criticism for its lack of transparency during a major restructuring. Layoffs were announced vaguely, and the absence of clear reasoning led to speculation and further mistrust among employees and the public.
Communication is key
Communicate honestly about the reasons behind the decision. Even if some information must remain confidential, providing clear and factual explanations helps employees and stakeholders understand the decision.
TIP : If multiple managers or HR representatives are involved, ensure a unified message. A preparatory meeting can help everyone align their communication to provide coherent explanations, avoiding the inconsistencies that often spark rumours and dissatisfaction.
MISTAKE #3: NEGLECTING POST-LAYOFF FOLLOW-UP
A frequent misstep is viewing the layoff announcement as the end of the relationship. For affected employees, however, it’s the beginning of a transition filled with uncertainties. Providing no support or resources can also harm the company’s reputation with remaining staff, who closely watch how their former colleagues are treated.
Example: Twitter’s mass layoffs in 2022 demonstrated the risks of neglecting post-layoff care. Many former employees shared frustrations about poor communication regarding severance packages and follow-up, which harmed Twitter’s reputation and employee morale.
A supportive career coaching plan
Options like outplacement programmes, career coaching, or skills assessments signal respect and care for those in transition. Companies can also help internally with advice on job search techniques and by reaching out to their network. Such support reinforces the company’s commitment to its people during challenging times, fostering loyalty among remaining employees.
TIP : The days following the announcement are crucial for addressing questions, clarifying details, and ensuring employees understand their contractual situation. HR and line managers can check in a few days, which shows continued care and supports a positive company image.
BENEFITS OF A HUMANE AND TRANSPARENT APPROACH TO LAYOFFS
Navigating the complexities of layoffs is never easy, but the way these transitions are handled speaks volumes about a company’s values and leadership. By prioritising transparency, empathy, and ongoing support, the company’s leadership can safeguard trust, protect team morale, and uphold the company’s reputation even during challenging times. Every step of the process offers an opportunity to reinforce the human side of your organisation.
CONTACT US
If you’re looking for ways to ensure your team feels supported through every stage of a transition, explore tailored solutions designed to align with your company’s values, contact us – in full confidentiality – to see how we can support you in making your transition more human thanks to our leading edge outplacement programmes.
At Leadingenius – HR Consulting and Coaching, we are passionate about career and leadership development. We love helping companies and individuals better identify their talent and realise their full potential. We offer coaching programmes to support our clients in the important stages of your career and reach their most important career goals.
If you would like learn more about our outplacement programmes, leadership coaching or skills assessment programmes, contact us on +41 79 464 92 70, via the Contact form or send an e-mail to info@leadingenius.ch.
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