How To Lead Through Layoffs
In 2024, the labor market has been notably turbulent, with significant layoffs across multiple industries. According to the U.S. Bureau of Labor Statistics, the total number of layoffs and discharges in the US reached approximately 1.5 million by June 2024. Globally, the situation mirrors this trend, with major corporations in tech, finance, and retail reducing their workforce as well. These layoffs, both past and predicted, have left a significant impact not only on those who lost their jobs but also on those who remained—often referred to as "layoff survivors."
Survivor guilt: What is it?
The emotional toll on employees who remain after a wave of layoffs, often referred to as "survivor guilt," is profound. Survivor guilt is the experience of feeling distress or guilt after surviving a crisis that affects others. For example, Priti, an IT professional who retained her position after her company laid off many of her colleagues, struggled with feelings of guilt and anxiety.
“I kept asking myself why I stayed while others had to go. It felt wrong to be relieved about my job when so many others were hurting,” she shared.
This guilt affected her focus and made it difficult for her to find satisfaction in her work, knowing that many of her friends and colleagues were no longer part of the team.
What You Can Do as a Leader:
Leaders play a critical role in helping employees like Priti navigate these feelings and rebuild their confidence. It is essential for leaders to take the following actions during layoffs:
- Offer Support Resources: Provide access to counseling services, employee assistance programs (EAPs), and mental health resources to help employees cope with the stress and emotional toll of layoffs.
- Provide Clarity on Roles and Expectations: After layoffs, the roles and responsibilities of the remaining team members may change. Clearly communicate any new expectations to avoid confusion and ensure everyone knows what is required of them.
- Recognize and Appreciate Remaining Employees: Acknowledge the contributions of those who remain, and express gratitude for their continued commitment. This can help boost morale and reinforce a sense of purpose.
- Foster open communication: For practical tips on navigating post-layoff communication, watch the video below.
And to elevate your leadership communication in a variety of situations, watch my newly released Strategic Communication for Leaders course.
Absolutely crucial tips for navigating such a challenging period. Transparency, empathy, and clear communication can make a significant difference.
as a #leader, build a culture where #change is acknowledged and seen as much as (if not more) an opportunity than has a loss. Give your folks the confidence to. approach disruptions with courage and creativity. One way to do that is to offer Applied improv workshops.
I also like to encourage those who remain to reach out to people we just laid off. Just because you laid someone off, it doesn't mean they're dead to you. Call 'em up. Go out to lunch, let them know about other opportunities, etc. On a related note; it's usually only a matter of time before the remaining employees get laid off, too (this amplifies the feeling of fear and trepidation!) Once the layoffs start, double up on your networking -- no matter how "immune" you think you are! Your former colleagues are a great place to start!
Nice, solid advice, love "open communication" - let me twist that just a bit and say they need transparency. When times are tough we use less, but more is actually needed. Thanks Brenda Bailey Hughes
This resonates with me Brenda Bailey Hughes. Years ago I was a layoff survivor and it was hard to walk the halls with empty offices previously filled with missed colleagues.