268: Leading Through a Reduction in Force (RIF)

Today, we’re talking about leading through a Reduction in Force, or RIF. This episode isn’t just for people who have managerial duties, but also people who lead by influence.

I want to frame this with some statistics; as of the day I am writing this episode in late March:

-Meta is planning to lay off 10,000 workers this year

-More than 161,000 tech layoffs occurred in 2022, with an additional 128,000+ layoffs so far in 2023

-Disney announced 7,000 layoffs in February

-Amazon is cutting 18,000 jobs

-Salesforce is laying off 10% of its workforce

-Goldman Sachs is cutting 3,200 jobs

-Spotify is cutting 6% of its workforce

So, what do you do when you are in a leadership role during a RIF? What DON’T you do?

Show kindness and compassion to those you are letting go.

Advocate for them to receive outplacement benefits and severance. Treat them with dignity and respect. Leverage your network, if possible, to help them successfully land in their next role.

If you aren’t in a leadership role, you can still show this kindness and compassion to your RIFed coworkers – and you may be able to help them network their way to a new role.

Acknowledge the toll on the remaining employees.

It’s easy for a leader to think that those remaining are thrilled to keep their jobs, but the uncertainty of the ground underneath their feet makes it much more likely the remaining employees will be nervous, shaken, and unsettled. They are simultaneously mourning the loss of their colleagues, wondering if they are next to be RIFed, and trying to adapt to added job responsibilities as they fill the roles of those who have been let go.

As a leader, you are tasked with keeping the team together emotionally and motivationally – this is key to help avoid further layoffs.

If you aren’t in a leadership role, be a friend to your remaining coworkers. It’s okay to express your emotions – but it’s not okay to use your lunch hours as a bitch session. Be a positive inspiration of how to navigate this situation.

Allow space for grief.

Perhaps your employees need to share their grief with each other – facilitate this for them. The worst thing a leader can do in this regard is pretend like your team isn’t grieving.

If you aren’t in a leadership role, and your boss isn’t allowing space for grief, advocate for this with your boss.

Redefine priorities and communicate with your team.

If this has been a significant RIF that has decimated your team, meet with your direct supervisor to determine priorities in light of reduced staff. It is quite possible that previous priorities are thrown out the window and a completely new focus is introduced if the company is reorganizing or refocusing.

Over-communicate these new priorities with your team. This is a critical time for employees to be kept in the loop to help minimize gossip, fatalistic thinking, and a mass exodus of the employees you had hoped to keep.

If you aren’t in a leadership role, ask your boss how you can support him or her in communicating these new priorities – and what new roles your boss needs you to take on. Be a model team player.

Streamline systems.

How can you step up automation to help with reduced staff? How can you reshuffle job duties to even out the workload?

If you aren’t in a leadership role but have significant tech skills, perhaps you can take the lead on researching possibilities or implementing additional facets of existing technology. Could you help your boss reshuffle the workload?

Invest in your remaining team members.

You need those who remain to be operating at their highest level; what are the tools, training, and support they need to do so? Will some team members need to be retrained to take on completely new responsibilities?

Plan social events, recognition, even give out spot bonuses, if possible, to keep your remaining workforce motivated and committed.

If you aren’t in a leadership role, perhaps you would love to plan a social event or create a recognition program – approach your boss to offer to take the lead on some aspect of this that plays to your strengths.

Paint the vision.

The only way you can get your team onboard is to show them a brighter future. Here’s a quote from a Forbes article called The Big RIF:

“Most people will jump ship immediately without a clear view of a future magnetic state. Or, they will check out, go through the motions, and then jump ship. Neither scenario accomplishes your mission.”

If you aren’t in a leadership role, you can’t paint the vision – but perhaps there is a part you can play. Can you create a PowerPoint for the boss to share with your team? Is there an opportunity for you to support your boss in operationalizing the new vision?

If you are in a leadership role during a RIF, you have a tremendous opportunity to show kindness and empathy, provide direction and resources for your team members during a turbulent time, and show those above you how good of a leader you truly are.

If you are not in a leadership role during a RIF, this is your opportunity to put your leadership strengths on display for your boss, coworkers, and others to see. Take advantage of this!

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