Involuntary vs. Voluntary: Demystifying Layoffs

Involuntary vs. Voluntary: Demystifying Layoffs Photo credit: Canva

Involuntary vs. Voluntary:

Demystifying Layoffs

Layoffs, redundances, downsizing or separations, whether voluntary or involuntary, while unfortunate, are a frequent occurrence in today’s business world. Yet, many organizations fail to realize the importance of a well-defined career transition assistance process, often treating it as an afterthought. This short sighted approach can have significant consequences, damaging morale, souring the employer brand, and even leading to lawsuits. As seen on TikTok a poorly handled reduction from the workplace can go global and have a negative impact on the employer.

Offering career transition assistance is a difference maker for impacted employees and a good process is becoming increasingly important for company’s brand marketing.

Optimizing Talent Management

Traditionally, HR focused primarily on onboarding new hires. However, a complete talent management cycle recognizes the significance of a dignified offboarding or career transition assistance experience. Here is why:

  1. Sets the Tone: How you treat departing employees sends a powerful message to those who remain. A positive offboarding process fosters trust and loyalty, reassuring remaining employees will be treated well if the situation ever reverses.
  2. Mitigates Risk: Disgruntled ex-employees who feel mistreated during the offboarding process are more likely to badmouth the company publicly or even file lawsuits. A smooth transition minimizes this risk.
  3. Maintains Reputation: Social media’s reach amplifies negativity. A poorly handled layoff can quickly damage your employer brand, making it harder to attract top talent in the future.
  4. Supports Departing Employees: Being laid off is stressful, believe me that the emotions are like a roller coaster gone wild. A supportive offboarding process that provides resources and outplacement services eases the transition and demonstrates compassion.

Building a strong offboarding, career transition assistance process is initiative-taking and sets the stage for maintaining not only your brand but defines your culture as an employer that cares for not only their employees but the community in which they live.

Important key steps to ensure reductions in the workplace are managed with professionalism and respect:

  1. Preparation is Key: Do not wait for a crisis to develop a career transition assistance strategy. Develop a clear, documented plan outlining the process, severance packages, and outplacement services.
  2. Manager Training: Equip managers, especially first-timers, with the skills and resources to conduct offboarding meetings effectively. Training workshops and scripts can help them navigate difficult conversations. Develop an eBook or manual around the idea of “letting someone go, with dignity and respect.”
  3. Generous Severance: A competitive severance package that includes continuation of health benefits for a reasonable period demonstrates good faith and incentivizes employees to sign separation agreements.
  4. Comprehensive Outplacement: Move beyond basic resume reviews. Offer outplacement services that provide career counseling, interview training, and networking support.

Take your process beyond the basics and you will be glad you did.

Enhancing Offboarding

A truly exceptional offboarding experience goes beyond fulfilling legal requirements. Consider these additional steps:

  1. Open Communication: Be transparent and upfront about the reasons for the layoff.
  2. Express Gratitude: Recognize the contributions of departing employees and thank them for their service.
  3. Maintain Communication Channels: Offer to answer questions within reason after the separation date and references to additional resources like your Employee Assistance Program (EAP).

By investing in a well-structured offboarding process, organizations can turn a difficult situation into an opportunity to demonstrate their values and maintain a positive employer brand. Remember, how you treat departing employees today reflects on your company’s character and shapes its reputation tomorrow.

Balancing Compassion and Efficiency for Departing and Remaining Employees

A well-defined layoff process can benefit both the departing employees and the remaining workforce. For those leaving, it can ease the transition and set them up for success in their next job search. For those staying, it can show the company cares and boost morale.

The goal is to help companies navigate an inconvenient situation in a way that minimizes harm and offers positive outcomes.

Travis Jones - CEO of Career Development Partners

Written By Travis Jones

Travis has been an entrepreneur and business owner in Tulsa for over 30 years. He is a well-known community servant and is dedicated to providing world-class service for everyone we encounter at Career Development Partners.

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