Getting Back to Business Following a Layoff

As painful as it was, you've had a layoff. An all too common occurrence in our current economic climate. Now that this event is behind you, you're ready to forge ahead and get back to work but suddenly you're noticing your employees' behavior does not align with your plan. You're likely asking yourself:

• Why aren't employees getting back to work as instructed?
• Why aren't they as productive as they once were?
• Why is the rumor mill running rampant?
• Why aren't they just happy to have a job?

Believe it or not the emotions employees and managers feel following a layoff have been equated to some of the stages in the grieving process:

• Shock
• Anger
• Resignation
• Acceptance/commitment
  

As managers, we've thought about the layoff well in advance of taking any action and we've thought about the actions needed on the other side to move the company forward. This enables us to get to Stage 4, acceptance and commitment much sooner than our employees who have just heard the news. Keep in mind that even if some employees are in the acceptance stage don't assume everyone is.

"So" you ask, "how can I get my employees to acceptance and back to productivity/work without spending valuable time hand-holding?" Or you may be thinking, "why do we have to keep talking about this?" Those who understand that communication with employees in all directions and at all levels is essential for a successful workplace should read on for some best practices to help your organization. These will not only help you to move forward successfully following a layoff but be well positioned for when the economy turns around.

First let's start with a basic understanding for what employees are likely thinking and feeling after such an event:

• Confusion. "I have a new supervisor, what does s/he expect of me?" "My manager is now too busy to talk to me/assist me."
• Anxiety. "I have more work than ever. How will I get it all done?" "When is the next round of layoffs going to occur?" "Will I be affected?"
• Decreased motivation. "I'll just fade into the background so next time they won't notice me." Or "I better start looking for a new job since there are no more opportunities here." "Will there be pay increases in the future?"

The following best practices will aid your company following a layoff and are solid practices to continue well after the event:

• Be transparent. Share as much as you can and then share even more…even if the picture is not rosy. Time and again when I speak with employees they crave information, real information about how the company is doing and the prospects for the future. Share information about your sales, both wins and losses. Talk about the products and need for further innovation and how employees can get involved. You may worry about a mass exodus if the picture is not rosy but my experience shows if you treat people as professionals and with respect, they will stay with you, even during tough times. Without such information employees will come to their own conclusions which are often erroneous and much worse than reality.
• Train employees to understand the balance sheet and how it affects revenue.
• Create a communication plan/structure. Immediately following a layoff it is wise to meet at least weekly with staff. After awhile shift to monthly all company meetings but encourage managers to meet with teams more frequently and to stay visible. Early on, train managers what to say. Just because you’ve shared information with mangers doesn’t mean they will distribute the information the way you want them to so create an FAQ for them to follow. They will appreciate it.
• Consider what you want employees to do and how you want them to think and feel, then work this into your communication plan both globally and by department.
• Identify and retain top performers by asking, “if this person left, could we accomplish our goals?”
• Continue performance reviews, even if there is no money for raises.

As you know an essential ingredient to a successful organization is having top performers on board. In order to keep them on board meet with them individually and communicate the message that they are crucial to the organization and you want to talk about their future by asking the following questions:

• With whom do you want to engage more?
• What do you want to learn how to do?
• What processes do you want to participate in or modify?
• Have you identified projects you want to work on or lead?

Wise organizations are not sitting back, hoping for the best and waiting for the economy to turn around. They are talking to their employees, engaging them and encouraging innovation. These are the companies that will succeed now and into the future. Special acknowledgment: some concepts for this article provided by Leila Bulling Towne's presentation for SHRM.