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How to Handle Layoffs with Compassion and Support for Affected Employees

By Kirsten Ellis posted 04-02-2025 07:55 AM

  

Layoffs are never easy for businesses or employees who are let go. Even though they may be necessary due to restructuring, cost-cutting, or changing business priorities, layoffs can have a serious emotional and professional impact on those affected. As an HR or business leader, it’s important to approach the process with empathy and transparency and provide real support to help your employees transition to their next role. 

Be Transparent and Plan Ahead 

  • Prepare for the Process: Before announcing layoffs, take time to create a clear plan. This means understanding why the layoffs are happening, determining how employees will be selected, and setting a timeline for the entire process. The more prepared you are, the smoother the communication will go. It is strongly recommended to consult with an Employers Council attorney to ensure legal compliance. 

  • Communicate Early: Once decisions have been made, it’s essential to communicate with affected employees as soon as possible. Give them as much notice as you can and make sure they know how the process will unfold. Clear, open communication helps avoid confusion and allows employees to process the news. 

  • Keep It Compassionate: Layoffs are emotionally challenging for many, and the way you handle the conversations can make a big difference. Take a human-centered approach by speaking to employees one-on-one, not in a group. Show empathy and respect —acknowledge the difficulty of the situation and listen to their concerns. It’s a tough moment, but your approach will set the tone for the entire process. However, you don’t want this to be a drawn-out meeting either. Sometimes, a quick meeting is the kind approach.  

Offer a Fair Severance Package 

  • Provide Financial Support: Offering a severance package is not just common practice it’s often a legal requirement. Make sure it’s fair and in line with industry standards. Beyond pay, include benefits like continuation of health insurance, unused vacation days, and career transition support. It is strongly recommended to have an attorney review severance packages prior to giving them to employees. Employers Council can help you draft a legally compliant one. 

  • Additional Benefits: Consider providing extended benefits like outplacement services, counseling, or mental health support. These offerings can help employees deal with the emotional side of being laid off while providing resources to help them find new employment. 

Help Employees Transition to Their Next Jobs 

One of the best ways you can help is by offering outplacement services. This might include resume writing assistance, job-search strategies, interview coaching, and networking opportunities. Partner with a professional outplacement service to help employees find their next job more quickly and easily. 

  • Resume and LinkedIn Profile Review: A huge part of career transition support involves helping employees polish their resumes and LinkedIn profiles. Provide personalized resume reviews to ensure their documents highlight their achievements and transferable skills. Offering LinkedIn profile reviews is also important. Help them make sure their profiles reflect their expertise and are optimized to attract attention from potential recruiters and employers. 

  • Training and Skill Development: Consider offering employees access to online courses or certification programs to help them upskill or pivot to a new career path. Offering learning resources helps employees stay marketable and boosts their confidence during the job search process. 

  • Networking Opportunities: Help laid-off employees connect with others in your network. If possible, invite them to relevant industry events, job fairs, or webinars where they can meet hiring managers and recruiters. Encourage them to participate in local job networking groups or professional associations. Connecting with the right people can make a huge difference when it comes to finding new job leads. 

  • Offer Personalized Support: In addition to general support, consider offering individual career coaching or mock interviews. Personalized advice, even just a few extra hours of one-on-one help, can be extremely beneficial in the job search process and shows your commitment to their future success. 

Employers Council offers career transition services. Please contact us for more information. 

Keep Employees Informed  

  • Clarify the Timeline: Layoffs can create uncertainty. Be sure to clearly explain the timeline for the entire process. Let employees know how long they’ll have to return company equipment, wrap up their work, and what happens on their last day. This will help them mentally prepare and understand what’s expected. 

  • Stay Open About Future Opportunities: If possible, let employees know about potential openings within the organization in the future. Even if there’s no immediate opportunity, maintaining a positive relationship with laid-off employees could result in them returning to the company at a later date. It’s also a good idea to stay in touch to see if they’re interested in future roles. 

Address Emotional Well-being 

  • Mental Health Resources: Losing a job is one of life’s major stressors, and it can affect employees emotionally. Make sure they have access to mental health resources, like counseling services or an employee assistance program (EAP). You might also offer workshops on building resilience or coping strategies to help employees process the emotional side of the transition. 

  • Create a Supportive Community: Encourage laid-off employees to stay connected with each other and your company. Set up an alumni group or informal network for former employees to share job leads, stay in touch, and support each other during their job search. Keeping in contact helps employees feel like they’re still part of the community and can provide moral support through the process. 

Layoffs are tough, but with the right approach, HR and business leaders can help reduce the emotional and professional impact on employees. How you handle the situation can shape your company’s reputation and the long-term careers of those affected. Compassion and support during this difficult process will go a long way in ensuring that both your organization and the employees who are let go can thrive in the future.  

Find more information about layoffs in this Employers Council whitepaper, and join us for our webinar Workforce Reductions and Layoffs: Before, During, and After the Conversation on April 25. If you need assistance or have questions, please contact us at info@employerscouncil.org.  

Kirsten Ellis is a human resources consultant for Employers Council. 

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