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Understanding Layoffs: A Comprehensive Guide for Employers and Employees. Strategic restructurings, downsizings, market fluctuations—businesses face myriad challenges that may necessitate making the difficult decision to lay off employees. Layoffs can significantly impact an organization’s workforce and culture, not to mention the personal ...
- Employee Layoff Explained
- Planning and Implementation
- Impact of Employee Layoff on Survivors
- Types of Survivors
- The Psychological Consequences of Being Laid Off
- The Role of HR in Layoffs
- Conclusion
Layoffs can be one of the most difficult tasks you face as a supervisor. Understanding how the process works will prepare you for any layoffs that your unit must initiate (Neto, 2018). Adequate planning and communication will have a significant effect on the employees being laid off, the remaining staff, and clients who work with your employees.
Process summary
According to the University of Washington (2018) below are basic steps outlining the layoff process for both the employing unit and their HR department.
Probationary employees
Probationary classified staff employees do not have the layoff and reemployment rights that permanent classified staff do (Petzall, Parker, & Stoeberl). If a probationary employeemust be let go for reasons related to funding or departmental restructuring, Human Resources prepares a special notice that informs the employee that their position is being eliminated because the department can no longer sustain it (Petzall, Parker, & Stoeberl).
Regularly occurring layoffs
As a heavy grant and contract-funded research institution with many self-sustaining programs, layoffs due to funding reductions or changes in research programs are regularly necessary (Telford, 2018). This happens in NGOs and universities. Such layoffs typically involve small numbers of employees who often know about the possibility of layoff well in advance of the time that the layoff action becomes necessary (Telford, 2018). Examples include situations where: 1. A grant, contract, or self-s...
Employees who survive a layoff are called ‘‘Survivors’’. They exhibit many negative post-layoff behaviors and feelingslike stress and declining morale. However, the strength and shape of these behaviors and feelings depend on some factors which shape survivors’ responses (Mishra and Spreitzer, 1998). Although the success or failure of downsizing is...
Beylerian and Kleiner (2003) stated that survivors respond and exhibit some negative emotions according to the legitimacy of layoffs. Whether laid-off workers were notified before these layoffs, whether the decision was made according to a clear criterion like seniority, the degree of fairness in applied procedures, and whether they were fairly imp...
Employees (or former employees in this case) can be affected in a couple of different ways. When an employee is laid off, his or her general trust in long-term work may decrease, reducing expectations upon rehire (Aamodt, 2014). Effects of layoffs can trickle into future employment and attitudes. Layoffs in the workplace often leave the former empl...
When there are layoffs, companies can run into legal issues with some of the employees that were laid off, especially if a large number of them are from any protected minority-status categories based on gender, race, religion, age, etc. (Cavico, Mujtaba, & Muffler, 2016). During layoffs, companies can face potential discrimination lawsuits if the l...
Human resources (HR) professionals and managers must effectively manage the impact of layoffs on people. The immediate financial hardship of a layoff could affect both the physical and psychological well-being of an individual worker, while also causing bankruptcy, depression, and more severe illnesses. Layoffs could result in long-term impacts sin...
Nov 5, 2023 · A layoff is the temporary or permanent termination of a worker's employment for reasons unrelated to the individual's performance on the job. Employees may be laid off when...
- Will Kenton
Most successful approaches begin with a philosophy that spells out a firm’s commitments and priorities, establish methods for exploring layoff alternatives (such as furloughs, retraining, and ...
Dec 28, 2022 · Most of the time, company-wide layoffs are out of our control as employees. That doesn’t mean you’re powerless. Here are four things you should know about layoffs, how to prepare for them, and...
Dec 8, 2022 · Summary. Research has long shown that layoffs have a detrimental effect on individuals and on corporate performance. The short-term cost savings provided by a layoff are often overshadowed by...
Overview. Your employer can ask you to stay at home or take unpaid leave if there’s not enough work for you. A lay-off is if you’re off work for at least 1 working day. Short-time working is when...
