Go Back

Company Layoffs: How to Deal With It

Tue, 26 Jul 2022

Company Layoffs: How to Deal With It

Acknowledge That It Is Going To Be Painful

The first step is acknowledging that this will be painful for everyone involved. It would help if you told your team members that you understand that they will be upset about losing their job and that you want to support them through the process.

This way, they don’t feel like you’re trying to sweep the issue under the rug. Instead, you are acknowledging that it will hurt and that you care about them as people.

Plan in Advance Carefully

It’s important to plan ahead before announcing layoffs to your team. This will allow everyone to mentally and emotionally prepare for what lies ahead. In addition, you want to ensure that people understand why they were let go and what they can expect from now on.

This also gives you time to find new positions for those who are qualified and interested in working at your company. If you don’t give enough notice, then you may face legal action against you.

Communicate With Your Employees

You should communicate with your employees about the layoffs as soon as possible. This way, they won’t feel like they are being left out of the loop. They need to know what’s happening so they can start looking for other employment opportunities.

You could be facing legal action if you don’t tell them until after they’ve already accepted another position.

Tell Your Employees Truthfully

The first step in handling a layoff is being honest about what’s happening. This means explaining why the company has had to cut back on its workforce. If possible, try to give as much notice as possible, so employees have time to look for other work.

Start by letting them know that the company needs to reduce costs and that this is one of the reasons they’re losing their job. Then explain what their responsibilities will be moving forward. 

Offer Help And Support To Those Who Are Affected

When communicating with your employees, you should offer them support and assistance. For example, you can provide job search resources such as LinkedIn, Monster, Indeed, etc., so they can look for work elsewhere.

If you can, you can also pay for relocation expenses or even help cover moving costs. These things will show your employees that you care about them and value their contributions to the company.

Give Your Employees Time to Adjust

You also need to give your employees time to adjust to the new situation. Then, if possible, let them know what the plan is moving forward. For example, if you plan to restructure the company, you should inform your employees about it.

This way, they won’t be caught off guard by the news, and they’ll have more time to prepare themselves for the changes.

Don’t Be Afraid To Ask Questions

Asking questions during this difficult time will help you better understand what happened and why. You’ll learn more about the situation and gain insight into how to improve future situations.

For example, you might ask what the employee thinks about the decision to lay off someone else. Or maybe you’d like to know if anyone has any concerns about the company’s financial status. By asking these questions, you’ll get answers that will help you determine whether you need to take further action.

Take Action

Once you’ve communicated with your employees and learned everything you can about the situation, it’s time to take action. Depending on the circumstances, you may have to fire certain individuals.

However, if you must terminate someone, you should follow all applicable laws and regulations. Doing otherwise could lead to serious consequences.

Keep Your Employees Up To Date On The Future Of Your Company

After informing your employees about the layoffs, it’s essential to keep them updated on their future. Tell them what steps they’ll take to get rehired once the economy picks up again.

Also, provide them with information regarding unemployment benefits and other financial assistance programs available to them.

This way, they’ll know exactly where they stand when the economy starts improving and they want to return to work.

Don’t Let The Layoffs Affect Your Company Culture

While it’s important to be honest with your employees, it’s equally important to maintain a positive company culture. Don’t let the layoffs affect the morale of your team. Instead, focus on keeping things lighthearted and fun.

For example, you could hold a farewell party where all your employees can share stories about their time at the company. Or you could offer free lunches or coffee breaks throughout the day.

Regardless of what you decide to do, remember to stay focused on maintaining positive company culture.

Assign Remaining Staffs For The Empty Roles

If there are still some positions left in your company after the layoffs, then you should assign those remaining staff members to fill out the empty roles. This way, you’ll ensure that no one is left behind.

It’s also vital to ensure everyone knows who’s responsible for each position. Otherwise, you risk having people working without knowing what they’re supposed to be doing.

In addition, you should create job descriptions for each position so that new hires can easily find out what they’re expected to do.

Be Honest With Your Remaining Team Members & Employees

Finally, don’t forget to be honest with yourself and your team. If you feel like you’re struggling to cope with the situation, then it’s okay to admit that you need some extra support.

You shouldn’t try to hide from the truth. Instead, tell your team how you feel and why you need their help.

By being open and honest, you’ll be able to build stronger relationships within your organization.


Overall, while it’s never easy to lose employees, it could be necessary for your company’s survival. By taking the necessary steps outlined above, you’ll be able to reduce the impact of the layoffs and help your company bounce back quickly.