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David Schepp explores career issues and the lives of working people

Mass layoffs can lead to ’survivor guilt’

November
10

With layoffs and the unemployment rate at their highest levels in more than 14 years, employers need to prepare themselves for possible after-effects of job cutbacks on remaining employees, a Purchase-based researcher reports.

The negative impacts include greater employee insecurity, higher stress, less teamwork, heavier workloads, and workers generally feeling that they are “less valued,” according to Sirota Survey Intelligence.

The impacts are similar to those felt by employees after the impact of 9/11 on the economy, when the U.S. Bureau of Labor Statistics reported the highest number of mass layoffs since the bureau began collecting such data, Sirota said.

In September, mass layoffs, involving 50 or more layoffs from each employer, reached their highest number since 9/11.  There were 2,269 mass-layoff announcements in September versus 2,407 in September 2001. October’s mass-layoff numbers haven’t yet been released.

Sirota suggests managers take the following actions to help mitigate the after-effects of layoffs on employees who remain:1.  Communicate, communicate, communicate: Secrecy or lack of transparency will just add to employees’ sense of powerlessness.  Don’t delay in confirming whether there will be job cuts.

2.  Allow for an emotional response: Anger, concern, insecurity, and survivor guilt are all perfectly natural emotions for employees to feel. It’s crucial for managers to spend time assuring employees that it is OK to feel such emotions.

3.  Address the negative effects of less staff for the same work: Increased workloads for employees who survive layoffs are inevitable. Managers, however, can choose to involve their employees in the search for solutions, thus addressing both teamwork and efficiency simultaneously.

4.  Demonstrate continuing long-term interest in the careers of the survivors: Following layoffs is a good time to introduce ‘stretch assignments’ – those that will expand the skills of survivors and demonstrate your confidence in them.  It is also a good time to increase the frequency of discussions about career-related topics, including possible advancement opportunities.

5.  Determine how things are going – don’t just guess: Periodic, systematic, employee attitude assessments enable management to ascertain the impact of their actions on the day-to-day operations of the company. Employee attitude surveys also demonstrate to workers that they are still an important asset.

This entry was posted on Monday, November 10th, 2008 at 12:49 pm by David Schepp.
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From beheading halibut at a cannery in Homer, Alaska, to waiting on tables at tony resorts in Colorado, California and on Martha's Vineyard, David Schepp has had a lifetime's worth of jobs and experiences. Every workplace has it challenges and the choices people make in dealing with those difficulties can make or break a career. As a companion to Schepp's regular People@Work column, which explores workplace issues and the people they affect, this blog looks at trends among employers, employees and entrepreneurs and subjects related to our working lives here in the Lower Hudson Valley. Check out the latest topics he's exploring, and share your own experiences and insights.

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About the author
David ScheppDavid Schepp David Schepp has been reporting business news since 1995. Schepp joined The Journal News in 2003. He has worked for Knight-Ridder Financial News, Dow Jones Newswires and BBC News Online, where he specialized in economic reporting. A resident of Dutchess County, Schepp holds a bachelor's degree in journalism from Metropolitan State College of Denver. READ MORE
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