Tough Choices Within an RIF
by Lois MelbourneLayoffs, or Reductions in Force (RIFs), are not pleasant. Some people get angry that a business would even consider doing a cut in their workforce. A lot of focus is currently going to the layoffs which people perceive are because management didn’t know how to run the business well enough to avoid the cuts. Although many cuts may be happening due to poor management, many of the RIFs are very prudent and intelligent choices by management.
It is not easy to make the decision to put people out of work in this job market. Management and HR teams everywhere are dealing with the pain of this process. However, cutting a workforce by 20% should be done to help protect the 80% of jobs that are staying at the company. Sometimes these positions being cut are no longer needed, or sometimes it is an opportunity to cut low performers putting a drag on the organization, even if the position is still valid. Efficiency, value to the organization’s customers, and, yes, pure cash flow are all taken into consideration during an RIF.
There are a lot of stereotypes being assigned on all sides of layoffs right now. It’s a shame, but it is an emotional time. We need to keep in mind that there are real people on both sides of an RIF. None of them are enjoying the process, but they must make the best of the situation and put smart decisions into play. It isn’t a soulless process. My customers working with RIFs are dealing with sleepless nights and are doing a great job assessing the situation to help their organizations make the most of a tough economy. I applaud their valor.
Lois
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