Supporting employees during a layoff: A Guide for HR practitioners

Written by Jonas Ileka

Layoffs or retrenchments are an unfortunate reality of the business world, and they can be a difficult, emotional, and at times even a traumatic experience for employees. The way it is handled can have a significant impact on employee morale and the perception of the company for both the laid-off employees and the remaining employees. As Human Resources practitioners, we are responsible for supporting laid-off employees during this challenging period of their careers. This article explores some best practices for helping employees during a layoff.

Provide advance notice

Whenever possible, provide employees with advance notice of the layoff. This can help employees prepare financially and emotionally and may make the transition easier. The earlier the notice is given, the better.

Be transparent

Transparency is vital when it comes to layoffs. Employees being laid off need to know and understand the reasons for the discharge, the criteria used for selecting employees to be laid off, and how the layoff will impact them. As HR practitioners, we must be transparent and honest with employees about what the release means for their future with the company.

Offer generous separation packages

Providing a severance package can help ease the financial burden of losing a job. Over and the above the severance package prescribed by the Namibia Labour Act 11 of 2007, consider offering a separation package that includes continued health benefits for a fixed period (such as three or six months), loyalty bonuses based on tenure, and other unemployment benefits such as “ex-gratia” payments in the form of a lump sum or a series of smaller monthly payments. This will serve as a financial cushion for the employee and demonstrate to former, current and prospective employees that the company values and cares for their workers. Considering that layoffs are usually a last resort when the company finds itself in procarious financial position, the separation package should of course be dependent on and determined by the financial situation of the company at the time.

Offer job training or outplacement services

Outplacement services can help employees find new employment by providing them with job search resources and coaching. This can help employees feel supported during a difficult time and may help them transition to a new job more quickly. As HR practitioners, we should consider offering outplacement services as part of our support for laidoff employees. HR practitioners can also provide short courses on technical competencies and soft skills to improve the employability of laid-off employees.

These can also include business management and consulting skills for employees who intend to or may be interested in starting a businesses or consulting practice.

Provide emotional support

Losing a job can be emotionally challenging. It is essential to support employees to reduce the risk of mental breakdowns, depression, and other health issues that may result from losing a job. Consider offering access to employee assistance programs or counselling services to help employees cope with the stress of the layoff. This can help employees feel valued and supported by the company.

Maintain positive relationships

It is essential to maintain positive relationships with employees during and after the layoff. Be respectful, understanding, considerate and supportive during the process, and consider offering to provide references or networking opportunities to help employees find new employment. This will help to maintain a positive relationship with former employees, which can be valuable for the company in the long run.

It is important to support employees during a layoff with a thoughtful and compassionate approach. Moreover, it’s essential to be transparent and provide advance notice while offering separation packages and outplacement services. But beyond that, we must also provide emotional support and maintain positive relationships with employees who are being laid off. Through these actions, we can demonstrate that the company values and respects their contributions, and make this often-difficult transition a bit easier for all parties involved. It’s not an easy task, but by following these best practices, we can help alleviate some of the stress and uncertainty that employees may be feeling, and make a positive impact during a challenging time.