Layoffs happen in the business world.The process is unpleasant for both parties, but there are ways to make it less painful.A percentage of a company's workforce can be laid off if the company is not doing well.It's important to understand how to perform an effective layoff that is both legal and compassionate.
Step 1: Think about who you need to let go of.
Make sure that the people who remain are able to cover the work of those who are being laid off.Layoffs are usually about the company performing poorly and need to let part of the workforce go.Employees who are laid off will be able to claim unemployment benefits.Firings are usually about the poor performance of the employee.How will the downsizing work?Are people changing offices or moving to a smaller space?You don't want to regret losing key people so think carefully about layoffs.
Step 2: Meet your lawyer.
You need to know how to lay people off.You should be aware of your rights as an employer.You will need to know how your employees can collect unemployment benefits.
Step 3: Talk to your staff.
Chances are you are going to be laying off people because your business is not doing well.Discuss the health of your business with your staff.They might have some good ideas about how to turn it around.It is possible that you don't need to lay off people.At least your staff will be aware that this is part of a larger problem and not due to their performance, if you do end up doing layoffs.The business has been down for the last two quarters.Even though I don't want to do it, I'm considering layoffs.If we don't make changes in the staff, we're going to have to file for bankruptcy.I don't want to lay anyone off, but I think it's necessary.I would love to hear your suggestions.I will have to lay people off if we don't make some changes.
Step 4: It's a good idea to plan the timing of the announcement.
Business experts suggest Tuesday morning.You will be able to control the response in the office during the week.People can talk about it at work, rather than being upset by it alone.It is a good idea to avoid Fridays at the end of work and the first thing Monday morning.Don't make announcements before holiday weekends for layoffs.
Step 5: Before you speak to the employee, rehearse what you will say.
Try to think of a compassionate way to explain the situation.Imagine if you will, possible responses to being laid off and try to find good answers.Be respectful and honest.Prepare a script to follow and memorize the points you want to make.
Step 6: The layoff should be done as soon as possible.
It is unavoidable, so plan the time and place for your meetings with employees.It is better for everyone to get over it quickly.
Step 7: You have to make an appointment to do the layoff in person.
You have to tell each employee that they are being laid off.You can have a conversation, listen to each other, and try to find ways that you can help the employee move forward.I am so sorry, but I will have to let you go.You have been a great employee, but we are going to have to lay you off because of the budget problems.We are going to eliminate your position because we can only operate with a skeleton staff.You have worked so hard for us, and I have seen how much you have grown.Wherever you find your next job, it's going to be very lucky.
Step 8: Be prepared for strong emotions.
You need to empathise with your employees, who will be very upset by the news.They have done a lot of work for you, so make sure to tell us how much you value it.The employee can come and clean out his or her desk when other employees are not there.If they want to say goodbye to their coworkers, figure out a time.
Step 9: You can give a good reference by telling the employee.
Not all companies are able to connect an employee with career advising and placement assistance if they have the capability.Refer the employee to the Human Resources department if they have further questions about filing for unemployment or finding a new job.
Step 10: They need to detail their package.
Different employees might be entitled to different amounts and benefits based on their contracts.You can be sure of the details if youFamiliarize yourself with each contract.To make sure the employee understands the package, go over it with him or her.Give them time to think about what you're asking them to do.They have to sign a waiver if you give them severance because they will not come back to the company at a later date and demand more money.
Step 11: Stay in touch with your lawyer.
As you conduct the layoffs, you might want your lawyer with you.Federal and state law protects workers.Determine if your business and layoff plan fall under the WARN Act or Older Workers' Benefit Protection Act at the websites cited below.Make sure you don't give your employees cause to file a lawsuit against you.Discrimination is one of the main causes of laid off employees.
Step 12: You should be open about the changes.
Everyone will be talking about the layoffs.Give employees a few days to deal with it and then ask them to stop talking.We need time to think about the changes.That is fine.We can move forward when we get back on Monday and take this week to deal with it.I am sad by the layoffs.Discuss them with your coworkers over the weekend.We will have a meeting on Monday to discuss how our company is changing and how you are a part of that.We can talk about them with each other today and tomorrow.I am happy to answer any questions you might have.
Step 13: You should communicate with your employees.
Send an email or call a meeting to discuss what the company will be doing in the future.Thank them and ask for their help.I want to hear what you think about the changes.I would like to have an all-company meeting on Tuesday afternoon.I want to hear from anyone who has questions or concerns so that we can deal with them publicly.Email, message, or call me to let me know.Managers don't know what a company and its clients really need.
Step 14: Send out a press release.
Don't be dishonest with your public.Let them know how your company will be changing after your layoffs.