Companies Urged to Show Empathy in Layoffs to Avoid Eroding Trust and Productivity
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The cold, heartless way many companies handle layoffs and firings is dehumanizing and demoralizing for employees. It erodes trust and harms culture.
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Layoffs should be an absolute last resort after exhausting other cost-cutting measures that don't impact people.
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If layoffs can't be avoided, do them with empathy and humanity. Allow proper goodbyes, severance, alumni networks, etc.
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Poor layoff practices don't just hurt those laid off, but also remaining employees, destroying engagement and productivity.
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There are better ways to handle layoffs, as demonstrated by companies like Nokia, Stripe, Twitch and Atlassian. Treat people with basic decency.