“Disruption” has become a buzzword in HR. It is generally used to imply that some exciting innovation is about to shake up the status quo for the better. However, the harsh reality hitting HR departments across various industries as evidenced by massive layoffs at major companies like Meta, Disney, Twitter, and Intel tells a different story.
The traditionally static realm of human resources is currently undergoing unprecedented disruption, comparable to the magnitude witnessed during the burst of the dotcom bubble in 2001. New rounds of layoffs that seem to be announced almost daily reveal disruption at its most damaging. A scroll through most HR professionals’ LinkedIn feeds reveals a vast wasteland of exit messages and pleas for help in finding new roles.
Far from energizing transformation, this disruption jeopardizes HR’s core mission – to provide workforce stability and support employees through challenging times. As economic seas roil, seasoned HR professionals know their role is to minimize disruption, not celebrate it. Strong foundations weather storms; reckless disruption leaves communities adrift.
With jobs disappearing overnight, HR must reinforce its compass for navigating disruption, not just reorient itself to ride the waves. Is your HR team ready to survive the gathering storm? Even if your company/industry has been untouched by layoffs so far, what must you do now to safely sail your ship through the tempest?
Empathy Is Not Optional
Layoffs have always been a predictable activity within the HR scope of work. In more dynamic industries, they may happen so often that the human impact may at times be muted by the operational activities necessary to execute a RIF. However, HR’s core attribute of empathy should never be buffered by the frequency of such events. HR should neither wallow in self-pity with the impacted employees nor should they be flippant about the human costs of such an event but instead should lead with empathy and professionalism.
With these large-scale reductions so common currently, what should HR departments do to protect their companies and continue to be a valuable resource to the businesses they support?
1. Proactive Workforce Planning:
To avoid layoffs, HR teams should invest in proactive workforce planning. By regularly assessing talent needs, skills gaps, and upcoming business challenges, HR can anticipate potential downturns and adjust accordingly. This might involve upskilling existing employees, cross-training team members, or optimizing workforce allocation.
With so many people in the recruiting function facing layoffs, now is a perfect time to evaluate where Talent Acquisition sits within the overall HR organization. Are there skills here that could be leveraged in more traditional HR roles?
2. Financial Prudence:
In challenging economic times, HR must work closely with finance departments to manage budgets responsibly. By analyzing expenses and identifying areas for cost optimization, HR can contribute to the company’s financial resilience without resorting to layoffs.
3. Open Communication:
Transparent and open communication is crucial during uncertain times. HR teams should engage in regular dialogues with employees, providing updates on the company’s performance, addressing concerns, and offering reassurance. Clear communication helps build trust and fosters a sense of belonging, even in difficult times.
4. Employee Support Programs:
During industry-wide layoffs, heightened anxiety and stress can affect employee morale and productivity. HR teams should implement robust employee support programs that address emotional well-being and mental health. These programs may include access to counseling services, stress-management workshops, or virtual team-building activities to maintain camaraderie and a positive work environment.
5. Talent Retention Strategies:
Retaining top talent becomes even more critical during industry layoffs. HR should implement talent retention strategies such as recognition programs, career development opportunities, and personalized benefits packages. Recognizing and rewarding exceptional performance demonstrates to employees that their contributions are valued and fosters loyalty to the organization.
6. Agile HR Policies:
In rapidly changing business landscapes, HR policies should be agile and adaptable. This flexibility allows HR to respond to emerging challenges while safeguarding the well-being of employees. Embracing various work options, flexible scheduling, or phased retirement plans can demonstrate the company’s commitment to its workforce.
7. Staying Informed about Industry Trends
Observing and analyzing the experiences of other companies in the HR industry can provide valuable insights into potential pitfalls and opportunities for growth. At Mercury Performance Group, we are a company a company helping organizations of 500 or more employees solve their HR problems, empower their employees and elevate their performance. We actively study industry trends and apply best practices from both successful and challenged companies to continuously enhance our HR strategies.
Conclusion
Remember, challenges can become catalysts for growth. When faced with industry layoffs, HR professionals must demonstrate their expertise through compassionate leadership, fostering a culture of support, and leveraging strategic workforce planning to secure a brighter future for their organizations and employees.
As always, we are here to support and partner with your organization to navigate the ever-changing HR landscape.