We all remember 2021, right? That was the year of mass resignations. Now that we are well into 2022, I predict that this year will be known as the “Year of Mass Layoffs”. I started wondering about this when I started seeing a much higher number of people posting their “this is my last day” as captured in my LinkedIn feeds. I started thinking something was up. A couple days later I saw the META (Facebook) was going through its first layoffs ever. I started doing some research and found that many companies were going through layoffs from September 2022 to the present time. Many of the companies laying off workers were Netflex, Snap, Google, Docusign. Some other companies laying off workers in October 2022 include Microsoft, Twitter, Amazon, Walmart, TikTok, and Tesla. This is far from a complete list. Truth be told, I predicted this would happen, and wrote about this months ago. But I was not sure about the exact timing of mass layoffs. So something is afoot. As a working professional you need to be aware of the recent trends of layoffs, and build a strategy to survive a layoff. I want to discuss briefly why I think we got here, and what specific steps you can take to minimize your risk of being part of the laid off workers. These steps are not guarantees, but they should help your position to stay employed with your current company.
WHY IS THIS HAPPENING: Like most things in life, the reasons why companies are laying off workers is complex, and a response to multiple factors. I do think in the case of some well known tech companies, the stocks have been over valued. It is difficult task to assess value for a platform that just provides a space to exchange pictures, ideas, and opinions. Opinions have some value, but they are not a “product” in the way that a car, a house, or a loaf of bread is a product. There can be a lot of enthusiasm around some of these platforms, but in many cases the enthusiasm does not match up with the true stock prices, the utility of the company. The bigger economic impact that is hitting not only Tech companies, but by retail, software, and manufacturing companies is the cost of borrowing money. I don’t want to spend too much time on root causes here, as my main objective is to help people survive layoffs. Suffice it to say our current administration has made the (questionable) decision to pump record amounts of money into the economic system. This has led to historic 40 year inflation. In an attempt to slow, and reduce inflation to a more conservative rate, the Federal Reserve has implemented several interest rate hikes in 2022. The last interest rate hike was in September 2022. When interest rates go up, the cost of borrowing goes up. And this includes business loans. As costs of doing business go up, companies look for ways to cut costs. One way to cut costs is to release some percentage of their employees. This is what is happening. As a professional that wants to keep their job (at least right now), what can you do to minimize the chance you will be part of a layoff?
DON’T WORK REMOTELY: A lot of people don’t like to hear this, but there have been a number of studies that say managers are much more likely to layoff remote workers before they would layoff in-office workers. A study by Beautiful.ai, a presentation software company, that surveyed 3,000 managers in the US about the future of the digital workplace, indicated that 60% of managers said it’s very likely that remote employees would be laid off first if downsizing became necessary. Brian Kropp, chief of human resources research at the consulting firm Gartner, recently told The New York Post. ” Managers believe employees who work remote are lower performers than those that come to the office...They will on average be more likely to lay off those who are working remote than those who are coming into the office...Simply put: it’s out of sight, out of mind.” This is the gist of what is at play. When you are an employee that works in the office, your manager tends to have a deeper, more personal relationship with you, compared to a remote worker on their team. So take advantage of this insight. If you are working remotely, and have the option to do your work in the offices, do so. From a human perspective it will make it harder for your boss to lay you off.
Work for a Company that is Growing: This may require that you make a move to another company, but if you work for a company that is growing, even in volatile economic times, you are less likely to be laid off. Working for companies that are growing, or at least stable (like healthcare related companies) all equal, you should enjoy better job security. To find companies that are growing can take some time, and effort in researching, and networking. Business journals, many of which are now online, can help you to target one or more companies to pursue. Once you have found one or two expanding companies, using networking, including social media to get to know employees within those companies. Let it be known you are open to opportunities within your target companies. Reach out to people in your target companies, and even schedule some meetings, or informational interviews. Then get yourself hired.
Work Long Hours and Let your Boss Know It: OK, this option does take a big commitment, and reduces your time away from your job. You need to decide for yourself if the extra effort, and time at your job is justified, or better yet, work with a career coach, or career consultant to weigh this option. Brian Tracy, says in his article “7 Steps to Getting Paid More, and Promoted Quicker”, “…Everybody knows who the hard workers are in every business. The hardest workers are always the most respected in any company of value. They are always paid more and promoted faster for a very simple reason: They are more productive…They are more valuable to the company. They set a better example, and are the kind of people bosses are proud of and want to keep more than anyone else.” The key point here is that if you do work longer hours, and/or weekends, let your boss know you did. This is easy to one to fit into casual hallway conversation. For example, BOSS: “How is it going today Judy?” DIRECT REPORT: “Gee, I’m a little tired. I was at the office till about 10 pm last night. But I’m glad I stuck with it, I’m in good shape on my operations reports.” Your boss will not know that you worked late, unless they hear from someone, and sometimes that needs to be you. In short, if you work long hours – make it know. By working longer hours you are showing your management that they are getting more from you, than from your peers. If you show you have more value to your company, you are less likely to be laid off.
Ask for more Responsibility and more Projects: By asking for more responsibility, and delivering, you are making yourself more valuable to your boss, your boss’s boss, and your organization. By asking for more responsibility, more projects and being successful, you are building a track record of success. It is human nature to give more responsibility to those that have had success when given more responsibility. Again you are showing your management you have great value in your company. The greater value you can display, the less likely you will be laid off.
Can-Do Attitude: Tied with the suggestion above, people that project a “can-do” attitude tend to be given more challenging work, and more responsibilities to manage. If you believe you will fail with an endeavor before you even get started, you most likely will. But if you project an attitude that says “I can do anything you ask of me…I will do whatever is necessary to see this project succeed”, you will exude confidence, and your manager, (and others) will feel they can trust you to take on more responsibility, and more challenging work, and they will not be disappointed. Even if your initiative ultimately falls short, you have displayed you are not afraid to take on more challenging work, and you gave it best effort. Don’t be surprised if you are tapped again for more challenges, and more responsibilities. Companies want people working for them that have the right, success-oriented attitude. When you can show this positive attitude in what you say, and what you do, you increase the chances of keeping your job through layoffs.
Engage with a Career Professional: If you have the ability, engage with a career professional like a career coach, or career consultant. This is definitely a time where you are going to need support. In addition to support, a good career professional can provide guidance on how to increase your skills, performance, and confidence to make you more valuable to your company.
Much is out of our hands when the economy becomes volatile. But you do not need to feel like a victim. There are action steps that you can take to minimize your chances of being laid off. If you have a choice, do NOT work remotely. Get yourself into your offices, even if it is just a couple days a week. Deepen your relationship with your boss, and your company. From the human perspective, you will improve your chances to stay with the company. If you are working for a company that is shrinking, look to make a move. The writing is on the wall. Be proactive and research, and get hired into a company that is growing, or at least stable. If you are up it, go the extra mile. Work longer hours. Show the company that you are giving more than your peers. If you have any bandwidth, ask for more responsibility, and more projects. Again you are showing your boss, and your company you have great value. It can be discouraging during layoffs, but demonstrate a “can do” attitude. Show confidence in what you say, and do, and you will be valued more by your management. If you have the resources do seek out, and engage with a career professional, such as a career coach. They can provide support at a critical time, and work with you to increase your value to your company. This is a list of concrete action steps. Most of us can implement at least some of these suggestions. In the end, by increasing your value to your company, you are working to minimize the chances that you will be laid off - you are maximizing your chances that you will be retained for your services.
AUTHOR: Brain Kail, MBA, CPC, CCC is a Professional Career & Executive Coach. For more information see AscendProCoach.com
WHY IS THIS HAPPENING: Like most things in life, the reasons why companies are laying off workers is complex, and a response to multiple factors. I do think in the case of some well known tech companies, the stocks have been over valued. It is difficult task to assess value for a platform that just provides a space to exchange pictures, ideas, and opinions. Opinions have some value, but they are not a “product” in the way that a car, a house, or a loaf of bread is a product. There can be a lot of enthusiasm around some of these platforms, but in many cases the enthusiasm does not match up with the true stock prices, the utility of the company. The bigger economic impact that is hitting not only Tech companies, but by retail, software, and manufacturing companies is the cost of borrowing money. I don’t want to spend too much time on root causes here, as my main objective is to help people survive layoffs. Suffice it to say our current administration has made the (questionable) decision to pump record amounts of money into the economic system. This has led to historic 40 year inflation. In an attempt to slow, and reduce inflation to a more conservative rate, the Federal Reserve has implemented several interest rate hikes in 2022. The last interest rate hike was in September 2022. When interest rates go up, the cost of borrowing goes up. And this includes business loans. As costs of doing business go up, companies look for ways to cut costs. One way to cut costs is to release some percentage of their employees. This is what is happening. As a professional that wants to keep their job (at least right now), what can you do to minimize the chance you will be part of a layoff?
DON’T WORK REMOTELY: A lot of people don’t like to hear this, but there have been a number of studies that say managers are much more likely to layoff remote workers before they would layoff in-office workers. A study by Beautiful.ai, a presentation software company, that surveyed 3,000 managers in the US about the future of the digital workplace, indicated that 60% of managers said it’s very likely that remote employees would be laid off first if downsizing became necessary. Brian Kropp, chief of human resources research at the consulting firm Gartner, recently told The New York Post. ” Managers believe employees who work remote are lower performers than those that come to the office...They will on average be more likely to lay off those who are working remote than those who are coming into the office...Simply put: it’s out of sight, out of mind.” This is the gist of what is at play. When you are an employee that works in the office, your manager tends to have a deeper, more personal relationship with you, compared to a remote worker on their team. So take advantage of this insight. If you are working remotely, and have the option to do your work in the offices, do so. From a human perspective it will make it harder for your boss to lay you off.
Work for a Company that is Growing: This may require that you make a move to another company, but if you work for a company that is growing, even in volatile economic times, you are less likely to be laid off. Working for companies that are growing, or at least stable (like healthcare related companies) all equal, you should enjoy better job security. To find companies that are growing can take some time, and effort in researching, and networking. Business journals, many of which are now online, can help you to target one or more companies to pursue. Once you have found one or two expanding companies, using networking, including social media to get to know employees within those companies. Let it be known you are open to opportunities within your target companies. Reach out to people in your target companies, and even schedule some meetings, or informational interviews. Then get yourself hired.
Work Long Hours and Let your Boss Know It: OK, this option does take a big commitment, and reduces your time away from your job. You need to decide for yourself if the extra effort, and time at your job is justified, or better yet, work with a career coach, or career consultant to weigh this option. Brian Tracy, says in his article “7 Steps to Getting Paid More, and Promoted Quicker”, “…Everybody knows who the hard workers are in every business. The hardest workers are always the most respected in any company of value. They are always paid more and promoted faster for a very simple reason: They are more productive…They are more valuable to the company. They set a better example, and are the kind of people bosses are proud of and want to keep more than anyone else.” The key point here is that if you do work longer hours, and/or weekends, let your boss know you did. This is easy to one to fit into casual hallway conversation. For example, BOSS: “How is it going today Judy?” DIRECT REPORT: “Gee, I’m a little tired. I was at the office till about 10 pm last night. But I’m glad I stuck with it, I’m in good shape on my operations reports.” Your boss will not know that you worked late, unless they hear from someone, and sometimes that needs to be you. In short, if you work long hours – make it know. By working longer hours you are showing your management that they are getting more from you, than from your peers. If you show you have more value to your company, you are less likely to be laid off.
Ask for more Responsibility and more Projects: By asking for more responsibility, and delivering, you are making yourself more valuable to your boss, your boss’s boss, and your organization. By asking for more responsibility, more projects and being successful, you are building a track record of success. It is human nature to give more responsibility to those that have had success when given more responsibility. Again you are showing your management you have great value in your company. The greater value you can display, the less likely you will be laid off.
Can-Do Attitude: Tied with the suggestion above, people that project a “can-do” attitude tend to be given more challenging work, and more responsibilities to manage. If you believe you will fail with an endeavor before you even get started, you most likely will. But if you project an attitude that says “I can do anything you ask of me…I will do whatever is necessary to see this project succeed”, you will exude confidence, and your manager, (and others) will feel they can trust you to take on more responsibility, and more challenging work, and they will not be disappointed. Even if your initiative ultimately falls short, you have displayed you are not afraid to take on more challenging work, and you gave it best effort. Don’t be surprised if you are tapped again for more challenges, and more responsibilities. Companies want people working for them that have the right, success-oriented attitude. When you can show this positive attitude in what you say, and what you do, you increase the chances of keeping your job through layoffs.
Engage with a Career Professional: If you have the ability, engage with a career professional like a career coach, or career consultant. This is definitely a time where you are going to need support. In addition to support, a good career professional can provide guidance on how to increase your skills, performance, and confidence to make you more valuable to your company.
Much is out of our hands when the economy becomes volatile. But you do not need to feel like a victim. There are action steps that you can take to minimize your chances of being laid off. If you have a choice, do NOT work remotely. Get yourself into your offices, even if it is just a couple days a week. Deepen your relationship with your boss, and your company. From the human perspective, you will improve your chances to stay with the company. If you are working for a company that is shrinking, look to make a move. The writing is on the wall. Be proactive and research, and get hired into a company that is growing, or at least stable. If you are up it, go the extra mile. Work longer hours. Show the company that you are giving more than your peers. If you have any bandwidth, ask for more responsibility, and more projects. Again you are showing your boss, and your company you have great value. It can be discouraging during layoffs, but demonstrate a “can do” attitude. Show confidence in what you say, and do, and you will be valued more by your management. If you have the resources do seek out, and engage with a career professional, such as a career coach. They can provide support at a critical time, and work with you to increase your value to your company. This is a list of concrete action steps. Most of us can implement at least some of these suggestions. In the end, by increasing your value to your company, you are working to minimize the chances that you will be laid off - you are maximizing your chances that you will be retained for your services.
AUTHOR: Brain Kail, MBA, CPC, CCC is a Professional Career & Executive Coach. For more information see AscendProCoach.com
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