As layoffs continue to be a “topic du jour,” I realized that our industry, which rarely conducts layoffs, could benefit from the experience of industries where layoffs occur more frequently. And I found a great source of insight close to home. I grew up in Washington state during the 80s and 90s, where Boeing – the largest private employer in the region – often made headlines for laying off tens of thousands of workers at a time. My stepdad, Mark, worked at Boeing for his entire career. While he was never laid off himself, during his tenure at Boeing he experienced four or five rounds of layoffs, three as a manager. I wanted to know what lessons he had learned through that experience that might be relevant to recent developments in our industry.
Now, admittedly, there are big differences between Boeing and even the largest law firms. Boeing is a publicly-traded company with over a hundred thousand employees, many of whom are part of a union. Law firms, of course, are much smaller, private entities. Despite these differences, I believe the insights Mark shared about the human impact of layoffs are relevant and applicable to any industry. Here are three key takeaways from our conversation:
1. Open communication is crucial, but respecting employees as individuals is equally important.
At Boeing, top-level communication about layoffs was broad and limited due to the company's size and complexity. The public statements provided the facts and broad outlines of the decision, and then managers like Mark would take over the communication with their teams. There was always a time gap between the announcement and the final decision about who would be affected by the layoffs.
During this interim period, Mark made a point of meeting with each team member individually, whether they were affected or not. In these meetings, he asked each person how much information they wanted to know. Some wanted as much detail as possible, and Mark would provide them with all the information he could. Others preferred not to discuss it, and Mark would answer their questions briefly and move on. He emphasized the importance of managing each person according to their preferences in order to optimize engagement, saying, "You have to manage people the way they want to be managed."
In addition to individual meetings, weekly group meetings provided a forum for sharing general information more broadly.
2. A well-defined and fair process is critical.
The process of selecting who will be affected by a layoff should be transparent and based on objective criteria. It should not be influenced by personal biases or favoritism. If an employee's performance is lower than their peers, they should not be caught off guard if they are identified for a layoff. Ideally, there should already be a system of feedback and evaluation in place so that the employee is aware that their performance would place them at risk.
A disorganized or unfair process can damage the trust and respect that employees have for their employer, making it more challenging to retain the talent the organization needs to thrive. Rebuilding takes time and intention.
3. After a layoff, it’s essential to allow for a readjustment period.
Rebuilding takes time and intention. Redistributing work and communicating about the new reality can help get everyone back on the same page. It's important to recognize that it will take time to heal and move on from the experience and, as Mark noted, treating employees with respect and professionalism is key. Condescension or patronizing attitudes can lead to frustration and resentment among those affected. Therefore, it's important to approach the situation with empathy, recognizing the difficult circumstances that come with a layoff and treating everyone – even your most junior team members – as the capable professionals they are. Mark compared the post-layoff team’s recovery to treating an injury, “You’re in rehab, but you still have the wound, and it takes time to heal.”
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To sum up, while layoffs can be a painful and challenging process for everyone involved, taking the time to prepare, communicate, and treat employees respectfully can help mitigate the negative impact. A fair and transparent process, combined with compassionate and open communication, can help to ensure that those affected are treated with the dignity and respect they deserve. These strategies can help make a difficult time a little easier for everyone and help the business emerge stronger on the other side.
Many thanks to Mark for his time and insights!
By: Kandice Thorn, Founder, WorkBetter for Lawyers
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