Now that the economy is heading south, companies are tightening their belts faster than you can say Alan Greenspan. Although companies may have excess employees at the moment, the tight labor market is making them think twice about how they are approaching the layoffs. I have been receiving telephone calls, letters and e-mails from companies facing layoffs that want help with developing strategies. Companies that take a proactive, honest approach and educate employees about what is happening in the industry will take some of the shock out of the layoff news.
Every employee hates surprises.
Break the news early. It gives employees a chance to get their financial house in order and their job searches under way. Even if your company doesn't have to comply with federal regulations requiring a 60-day notice, take the high road and tell them as early as you can. Help managers with training on how to lay off an employee with sensitivity and dignity. For example, there will be less residual bitterness if employees are given time to collect their things and say goodbye to their co-workers.