How to reduce the impact of layoffs for those who leave and those who stay

The posture adopted by the company can make the difference in critical moments and make them less traumatic

Laying is always a critical process for a company. After all, lives are impacted, and when this happens in a time of crisis, it is reinforced by reaching more people and feeling insecure that will affect the whole team.

However, it is not always possible to avoid that layoffs take place in the company, but there are practices that can make this moment less traumatic and harmful for all those involved.

Managers play a crucial role in the employee termination process. A common mistake is to transfer this task exclusively to the people management area, which will participate in the whole process, but must be accompanied by the board, with a well designed program and policy.

Fernando Trota, CEO of trivenbelieves companies should appoint a spokesperson who is respected by the team and has the charisma to break the news of the layoffs and answer questions about the reasons for this action.

“We must be transparent about the motivations and choice of names, offering support services, such as outplacement processes and new paths. The company must also prepare an orientation path, strengthen the organizational culture for those who remain and carry out the layoffs immediately, so as not to create expectations of possible future layoffs in the team, but without neglecting to hold individual meetings with those who are fired “. Fernando suggests.

The importance of an individual look

Lilian Carina, CHRO of Triven’s People as a Service teams, emphasizes the importance of the one-to-one approach and reminds that layoffs are massive, but “people are individual, so the process needs to be driven forward in humane way, with an objective, kind, respectful and empathetic conversation”.

It is important to offer all possible help to those who are made redundant, always ensuring that all economic rights of employees are paid and considering the feasibility of providing an indemnity in addition to what is required by law.

“Since today there are many companies that operate under Legal Person contracts, it is necessary to think about this new reality and that these employees will also need support, not having access to employee benefits under the CLT regime, such as unemployment insurance . We recommend that an additional salary be paid for the PCs, so that they can have more time to restructure,” completes Fernando.

Furthermore, the company can disclose to the market, when they allow it and are interested, the detailed list of terminated employees, with indications, names and contact details, helping them in the replacement. In this sense, another important action is the issuance of letters of recommendation.

“It is essential that companies treat departing employees with respect and dignity throughout the process, while also maintaining transparency with the team, so as to avoid gossip, fear and discouragement,” comments Fernando.

Shutdown best practices

• • Managers have a very important role in the process;
• • Appoint a news spokesperson → someone with charisma and respect within the team;
• • Have fully designed process (program), rules and policy;
• • Be absolutely transparent about the motivations and the choice of names;
• • Offer support and indicate new paths → support in outplacement processes;
• • Prepare an orientation path;
• • Strengthen the organizational culture for those who remain and open communication channels;
• • Conduct an exit interview with everyone;
• • Perform all layoffs at once, thus avoiding generating expectations of possible new layoffs;
• • Guarantee the property rights of all employees;
• • Consider an additional fee to that defined by law;
• • For PJs employees, offer an extra salary;
• • Distribute the list of terminated employees to the market (sheets with names and contacts);
• • Issuing a letter of recommendation for employees who have left.

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Source: Terra

Rose

Rose James is a Gossipify movie and series reviewer known for her in-depth analysis and unique perspective on the latest releases. With a background in film studies, she provides engaging and informative reviews, and keeps readers up to date with industry trends and emerging talents.