Best Practices for Communicating Layoffs with Sensitivity

I saw a post yesterday where someone found out they were being laid off when they got logged out of a system in the middle of a presentation. And another where the person's badge simply didn't work when they showed up at work that day. I think most people understand why layoffs are necessary. We may not like them, but we get it. We know that sometimes you need to cut expenses or you simply have a change in the skills needed, and we know that if you are the owner of the business, your job is to make hard decisions even if we don't always agree with them. But what I struggle with is the callousness with which layoffs are conducted. Layoffs can be done with care and humanity and it's a choice many are making not to do it that way. Some steps I would take if I were an executive navigating layoffs: 1. I would let my employees know they were a possibility as soon as the discussion began so they could explore new opportunities. 2. I would provide as many details as I could. Share potential numbers, which departments might be impacted, criteria being considered for who might be impacted. That way, people could assess their personal risk level and act accordingly. 3. I would make sure every employee got a human touch point talking through the layoff decision. No one should find out they are being let go because their email stop working one day. 4. I would provide strong financial support. Provide a severance package that accounts for the fact that many corporate job searches take 6+ months, and that unemployment covers just a fraction of lost wages. 5. I would support them with their next steps. Give them time to gather artifacts around their work, talk through what you'll share in references, offer introductions in your networks to help them land on their feet, provide job search assistance. And I would speak positively of the laid off employees externally to ensure that I'm not unintentionally making their job search tougher on them, The pushback I hear to many of these ideas is around risk. Risk that your top performers might leave when they hear about the layoffs. Risk that employees may be less engaged and motivated if they hear that layoffs are coming. Risk that employees may cause harm if they fear being laid off. From my perspective, that's just a risk executives should take. Your employees took a risk trusting you with their career; why shouldn't that risk be shared? But I also believe that a lot of the adversarial dynamics in the workplace stem from the lack of humanity. And if you treat your employees like humans who matter to the business, and you offer them transparency and respect, they'll offer that in return. Nothing is going to make a layoff feel good. But that doesn't mean they need to be cruel.

My script for layoffs used to begin with: “This isn’t the right fit because…” 15 years later, my script begins with: “Today is your last day at the company.” That’s also where the script ends. I used to think explaining the reasoning behind letting someone go would help. Instead, it made things confusing - and worse, it overlooked how emotionally jarring this news can be. Now, my message is clear and concise. I give the person space to absorb the news, and I focus on their needs: -What’s their severance? -How long will they be on health insurance? -How do they wrap up their work? Then, I offer to meet again the next week for a follow-up discussion, once they’ve had time to think. I’ve laid off 25 people across 3 startups. Every conversation was hard. But over-explaining and focusing on their mistakes just made it worse. That original script wasn’t about them; it was about me easing my own discomfort. Now, I focus on the person receiving the tough news instead. Layoffs are always painful - don’t make them harder than they already are. Our job is to ease their burden, not our own.

Imprint Beer Co. offers us a textbook lesson in how not to communicate layoffs to employees. The brewery recently announced mass layoffs and stopped brewing beer at its facility, blaming financial issues from water surcharges. How did they break the news to their employees? A now-deleted social media post. Cue the appropriate outrage. Former employees posted online about the abrupt firings and other toxic working conditions. Imprint's response? Defensive and snarky public replies to the employees and other online reviews. It was a PR disaster—and an example of how not to handle layoffs. Layoffs are always tough, but mishandling them can torpedo your business's reputation. Here's how to do it the right way: 1. Communicate directly: Nobody wants to find out they've lost their job via Instagram. Deliver the news in person (or at least privately) with clear reasons. Employees deserve transparency, not cryptic posts. 2. Show empathy: Layoffs are emotional. Treat people with respect—offer severance, job placement help, or even just a heartfelt apology. It's basic decency, and it matters. 3. Stay professional online: Public backlash is inevitable, but doubling down with defensive replies? That's a one-way ticket to Reputation Hell. Acknowledge mistakes, apologize, and keep it classy. 4. Reassure your team: Layoffs don't just impact those let go—they shake the entire workforce. Be honest with your remaining staff about what's next to restore trust and morale. 5. Know the law: Surprise layoffs can lead to legal trouble if you're not following notice requirements like WARN. Get it right, or get ready for a courtroom cameo. Layoffs are never easy, but they don't have to be a trainwreck. Show respect. Be transparent. Keep the drama off social media. If not, you might end up the next case study in What Not to Do When Running a Business. Nobody wants to be that brewery.

Nothing has the potential to impact company optics quite like a layoff. As a business leader, you need to understand that and put systems in place to manage the planning, execution, and aftermath of this unfortunate - but often inevitable - occurrence. To start, be transparent with your employees as early as you can be without spreading panic. As the leader, you’ll see the signals for impending personnel cuts months before layoffs actually happen. When you do, warn employees of the company’s situation so they can steel themselves for what might be ahead. When the time to lay off a fraction of your team does arise, immediately communicate the event to your remaining employees. And be honest: tell them why you’ve made the decision. Don’t tell them that there won’t be another layoff - because you can’t promise that with any certainty. Instead, reiterate that you want to keep as many people on board as possible. Lastly, lead with humanity. Don’t lean too heavily on your legal team to lead the layoff charge; it can come off as incredibly impersonal if you do. Instead, acknowledge that your people are likely shaken up and struggling - and be as kind and personal as you possibly can be. At the end of the day, a layoff affects every single employee. Those let go will likely recall it for years to come. Treat them as the human beings they are - and don’t resort to blindsiding tactics. The people you lay off have tremendous power over how your company is viewed from both an external and internal perspective. Mismanaging a layoff will burn you in the long run - and inflict more pain on those you’ve let go, too.

Dear Companies: Layoffs Aren’t Just Business. They’re Personal. You say, “It’s a tough decision.” You say, “It’s not performance-related.” You say, “We’re restructuring.” And maybe all of that is true. But here’s what they hear: You’re losing your income. Your routine. Your sense of stability. They gave you their time. Late nights. Extra hours. Quiet loyalty. And now they’re left with a generic email, a short Zoom call, and an empty calendar. No roadmap. No support. Just… “Thank you for your service.” Here’s the part that rarely gets said: Layoffs impact more than careers. They impact confidence. Identity. Mental health. It’s not just a job loss. It’s a life shift. So if you have to do layoffs, do them like a human being. ✅ Communicate clearly and early ✅ Offer real transition support ✅ Help with references, intros, and tools ✅ Treat people with the respect they earned Because how you handle layoffs is how people will remember you. Not by your mission. Not by your values. But by how you showed up when it was hard. Compassion doesn’t cost you anything. But the absence of it? Costs everything.

Layoffs, closures, restructuring... there’s no easy way to deliver hard news — but how you do it matters. I recently watched a video of Gary Vaynerchuk getting fired up (and I mean fired up) over a question from someone whose company announced they would be relocating their headquarters in 3 years. Yes — 3 years’ notice. They also announced that employees who chose not to relocate could keep their jobs and work remotely, but they wouldn’t be eligible for future promotions or increases. This employee was upset. She loves her job and the company, but feels management is ruining it. She asked Gary if she should cut her losses or stay, and he told her (with many trademark f-bombs) that her reaction reeked of entitlement, not injustice. He praised the company for communicating early, offering options, and giving ample time to prepare. (I’ll drop the link to the IG video in the comments if you want to see Gary go full Gary.) And this week, a coaching client called me. Their company recently announced that thousands of jobs will be eliminated by year-end, with a promise to notify impacted employees by the end of the month. No one knows who’s safe. Anxiety is high. Focus is low. We talked through how he, as a leader, could show up during this time: to keep his team informed, build trust, and support them — even while he’s in the dark himself. Here’s the thing: Companies can rarely “win” when change is coming. - If you give no notice — you’re heartless. - If you give months (or 3 years!) notice — you’re cruel for making people wait and wonder. But here’s what I know: ✳️ Transparency, even when imperfect, builds trust. So what can leaders do when change is coming, and people’s jobs — and lives — are on the line? * Communicate in person, with empathy. Even if the company made an official announcement, you need to have the conversation with your team. Meet with your team members one-on-one. Listen. Acknowledge their concerns without defensiveness. Don’t argue with feelings — they’re valid, even if the facts are off. * Be honest and transparent about what you can’t say yet. Answer questions when you can. And when you can’t, be clear about why, and when more information will be shared. People don’t expect certainty, but they do expect integrity. * Relate without centering yourself. If you’re potentially affected too, it’s okay to briefly acknowledge that. But don’t make it about you. Your role is to steady the ship, not captain a therapy circle. * Help them prepare — without feeding panic. Encourage your team to be mindful and proactive (talk with family, reach out to their network). But also remind them of the importance of staying focused and connected to the mission. Their work still matters. Their contributions still count. The truth is — if you haven’t built trust with your team before disruption hits, these conversations will be harder. But it’s never too late to start. You can’t make hard news easy. But you can make it human.

THE LAYOFF CONVERSATION THAT ENDED WITH "THANK YOU” ON BOTH SIDES A founder client recently had to make one of the hardest decisions in business: laying off close to half their team. They were terrified about the fallout. How do you tell talented people their jobs are gone? How do you maintain trust with the team that stays? But ultimately, the laid-off employees ended up thanking them for running such a compassionate process. Some even said – genuinely – "I'm sorry you have to go through this—this must be really hard for you, too." HOW YOU, TOO, CAN GET THERE: GET CRYSTAL CLEAR ON STRATEGY FIRST Before any conversations, identify how you ended up there, what you need to do differently to prevent it from happening again, and exactly what the company needs to focus on to survive. Establish who has to go but also what work will stay and what will stop entirely. For the remaining team, clarify exactly what each person will focus on so no one feels overwhelmed by doubled workloads. PREVENT LEAKS Make sure nothing gets out before you're ready to communicate. Schedule all conversations for the same day. COMMUNICATE IN THE RIGHT ORDER First: Call an all-hands meeting with everyone being laid off and make the announcement. Be direct: "We have an unfortunate decision we need to make. We have to let all of you go for X, Y, Z reasons." Then immediately hold individual meetings for each of them with managers to discuss details. COMMUNICATE LIKE A HUMAN, NOT A ROBOT Legal will tell you to read from a script with corporate jargon. Don't say you need to "lay people off"—nobody talks like that. Memorize the key points, then speak in your actual voice. Look people in the eye. SUPPORT THE "GO TEAM" IMMEDIATELY In those individual meetings, lead with the severance package—that's what they're worried about. Offer to provide strong references and a list of companies that might be hiring if you can pull one together. REASSURE THE "STAY TEAM" Hold a separate all-hands with remaining employees. Address their fear that this will happen again and their concerns about workload. The difference between layoffs that destroy companies and layoffs that position them for recovery isn't only the decision itself—it's also the execution. What's the difficult conversation you've been avoiding that might actually strengthen your company? *** I’m Jennifer Kamara, founder of Kamara Life Design. Enjoy this? Repost to share with your network, and follow me for actionable strategies to design businesses and lives with meaning. Want to go from good to world-class? Join our community of subscribers today: https://lnkd.in/d6TT6fX5