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Downsizing - Some best practices

Written by: G.J. Miller

Article Overview: No-one likes to have to let people go - but once the decision is made, there are certain steps that have been found to ease the transition for staff.

Downsizing - Some best practices

What to do to “lessen” the impact:

1. Handle the situation with sensitivity. Communicate personally and explain the business situation honestly.
2. Provide employees with information regarding their eligibility for unemployment insurance.
3. Communicate – communicate – communicate…
a. As soon as possible (to the general audience and to those affected.
b. Openly and as honestly as possible
c. Tell those who will stay what the future ‘plan’ is to correct the situation
4. Prepare managers with information and a communication strategy for their role with their teams. Make a “script” for them to follow so the message is consistent. Provide the managers lay off packages to give each of their employees.
5. Offer a period of severance pay to assist these employees in a transition to a new job
6. If at all possible, offer an outplacement service to the employees being let go…this will buy you tremendous good will with them and the employees who stay. You can get some very good assistance for as little as $500. Per employee.
7. Don’t forget the employees who are staying. This is your opportunity to show them you are concerned about them as well as those who are departing. As a result of the downsizing, they will work harder and will have lost their friends. Let them know you appreciate their hard work and

COMMUNICATE
COMMUNICATE
COMMUNICATE

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Article Tags: audience, business situation, communication strategy, downsizing, eligibility for unemployment, insurance, new job, outplacement service, severance, transition, unemployment insurance



Related Forum Posts
RE: Life isn't fair / 'Ol Boy Network - I certainly won't argue that 'Ol Boy Network practices exist and probably always will to some degree because, yes, people like to work with those like themselves. I am curious, though about reactions to the content and approach of the article itself, particularly given that it is from an HR / Management consultant: 1) What does the phrase "'Ol Boy Network" mean to you? 2) Do readers view his discussion as an impartial observation of the phenomenon or do his comments such as "...is not a bad thing," "it's natural," and "are normal occurences" sound like he's expressing an opinion that the practices are OK to continue because that's how it's always been? 3) Would the nature and direction of the content affect your tendency to hire this individual as a consultant? I tried to explore this with the author himself but he was extremely defensive and somewhat insulting regarding the possibility that his article might be perceived as endorsing the practice. I'm looking for a barometer check.
Business tips from Xerox - Thanks Chris - do you have any suggestions for what else you would like to see in terms of business advice / tips / best practices from Xerox?
Re: New McDonalds McCafe concept... - Well.. it's probably not fair to contrast Japan work practices to the US. Their culture is so different over there - they have a much higher regard for doing things right, don't they? It's no accident that most of the Quality Assurance systems came out of Japan! I lived in Japan for a year... about five years ago. Of course I was in Misawa and never got to the big city of Tokyo...
Re: Question of the week: Does free work? - [quote="GT Bulmer":31mn18yw]Good marketers make it easy for people to unsubscribe, but I've had experiences (not recently) where it was like pulling teeth to get off a list and stop the monthly payments. I think the role of legitimate, respectable marketers is to set the pace and the example for respectable business practices.[/quote:31mn18yw] Amen to that! Well said.
Hello from a San Diego-based marketer - Hello - I wanted to take the opportunity to introduce myself. My name is Aaron and I work as a marketer out of San Diego for a company called SmartDraw.com. SmartDraw.com produces business graphics software for producing flowcharts, org charts, and the like and its my responsibility to help inform our own customers on the best practices for using our products and to help inform the public about the benefits of using business graphics, such as flowcharts, as management/marketing/presentation instruments. I look forward to learning from you and sharing some stories from the trenches. -Aaron


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