Supporting Layoff Survivors Takes Emotional Intelligence

There is much talk today about layoffs. Certainly no employer welcomes these events.

But time and time again, we see the evidence and results of employee layoffs; those which are planned and executed poorly, as well as those that are handled well.

When a layoff is handled poorly, it can negatively impact a business for a long time.

The primary focus is usually on the employees directly impacted by a layoff, but actually both sets of employees may feel the impact equally:

1. those who are laid off; and
2. the "survivors" or employees who remain with the employer after the layoff

Numerous studies show that managers and employees retained after a layoff can likely suffer just as much as those who were laid off!

Managers and supervisors – who are also suffering – must be present and available to their employees during this difficult time. Since trust has been broken, and many employees will be waiting for the next shoe to drop, transparency is especially important. Every effort should be made to help employees feel informed about the company’s status and actions.

A layoff can represent a new beginning or the beginning of a downward spiral. The difference can be whether each member of the management team is able to step up as a positive role model and demonstrate the emotional intelligence required.

In a book titled, Healing the Wounds: Overcoming the Trauma of Layoffs and Revitalizing Downsized Organizations, the author, David M. Noer, describes a "layoff survivor sickness." He says this malady reflects a profound shift in the psychological contract that binds an individual and an organization.

His findings may surprise some. Noer says that layoff survivors experience the same sickness symptoms as their laid-off counterparts. Among them:

• Grief
• Stress
• Depression
• Irrational guilt
• Sleep disorders
• Distraction
• Anxiety
• Reluctance to participate (in tasks, relationships, etc.)
• Lack of motivation

Some business executives are surprised to learn that their surviving employees – those who kept their jobs - can suffer in these ways. It is critical for employers to understand and plan to support those layoff survivors - not only for humane and ethical reasons, but also for the purposes of productivity and morale. In short – for the future of the company. Failure to do this, as I noted above, can result in a layoff event handled poorly and long term damage to the business.

For those employers working toward long-term success, who are also managing a layoff event, here are some common blunders to avoid:

1. Neglecting those employees who are retained.
2. Misinterpreting or expecting that employees should simply "feel lucky to have their jobs".
3. Minimizing their employees’ feelings, i.e., "Just get over it!"
4. Retreating and distancing themselves from employees; and ignoring employee needs and feelings, etc.
5. Covering up or lacking transparency. Employees are looking for evidence of a more genuine approach.
6. Failure to support management (by an owner or CEO). Managers are human too, and they need proper support, so they can lead and motivate surviving employees back to productivity.

In addition to avoiding the above blunders, employers will want to reinforce positive thinking and actions that help to rebuild morale. Senior leaders and managers and even supervisors are expected to serve as role models.

As employers work to mend the organization, they should look to involve their employees as much as possible. Communicate with them, and let them know that everyone is expected to explore and identify alternatives and solutions.

Speaking of communication, it is also important that all levels of management interact with one another and on a human level. Plainly and simply: human to human. Keep the communication consistent and clear and make sure it reflects the organization’s cultural values. 

After a layoff, it is vitally important that management interact with employees on a human-to-human level.