7 ways to boost employee engagement and performance after layoffs

During an economic downturn, executives may resort to layoffs, budget cuts, and organizational changes to keep the company afloat. While this is the time to make tough financial decisions, it’s also crucial that leaders use this time to focus on their people. If not, organizations may experience low team morale, higher employee turnover, and decreased engagement and productivity.?

According to Bizreport’s Layoff Aftermath survey,

• 71% of layoff survivors say their work motivation has declined since layoffs.?
• 65% of layoff survivors say they have been overworked since the layoff.?
• 61% of layoff survivors say they are less likely to recommend their company as a great organization to work for.?

As employees navigate survivor's guilt and try to adapt to organizational changes, company leaders must focus on building culture and protecting employees’ well-being. To ensure companies are moving forward in the right direction, here are 7 ways to boost employee engagement and performance after layoffs.???

Communicate with transparency and honesty.

Provide remaining employees with clear information on why the layoffs occurred, how it will change the company, and what steps leadership is taking to move forward. Consider creating an anonymous survey asking employees how they feel about the recent changes and what support they need during this time. Managers should also use 1:1 meeting time to address team members’ concerns and provide reassurance that the company is committed to the employee’s well-being.?

Recognize and address employees' emotional needs.

Those who remain in the company may feel anxious, uncertain, or guilty for still having a job while their colleagues have been let go. Leaders can address survivor’s guilt by providing emotional support through a confidential employee assistance program (EAP), a company-wide initiative to support employee well-being, and other mental health resources.?

Invest in employees’ professional development.

Professional development opportunities can include training programs, mentorship opportunities, or job shadowing with other employees in the company. You can also connect employees with a Certified Career Coach who will help them create a career advancement plan within your organization. Encouraging employees to take advantage of these opportunities can demonstrate the company's commitment to their professional growth.

Foster a culture of belonging.?

Layoffs can create a sense of isolation and disconnection among employees. Leaders can foster a sense of community through team-building activities, social events, and open communication channels. This is also a great time to create Employee Resource Groups (ERGs) and provide ERG leaders with funding to implement programs and initiatives to honor and celebrate cultural months and create a safe space for historically underrepresented groups. A positive and collaborative work environment is more likely to make employees feel valued and motivated.

Set clear expectations and career goals.

Managers should take time to collaborate with their team and establish individual performance objectives, outline job responsibilities, and set team targets. It’s also crucial to encourage feedback and input. Ask how they want to grow within the company, what motivates them, and what support they need to do their job while having a work-life balance.?

When employees feel heard and understand how their work contributes to the company's success, they are more likely to feel motivated and engaged.

Recognize and reward outstanding performance.

Rewards and recognition include acknowledging employees' accomplishments in team meetings, providing public recognition for incredible performance, or offering incentives such as performance bonuses or profit-sharing plans. Companies can also revisit their benefits packages to include flexible work hours, more PTO, increased parental leave, or other inclusive benefits that align with employees’ needs.?

Lead by example.

After layoffs, it's essential for leaders to demonstrate a positive attitude, maintain open communication channels, and prioritize employee engagement and well-being. When employees see their leaders taking these steps, they are more likely to follow suit and trust the direction that the company is going in.?

Work with Perfeqta to build an engaging and inclusive workplace culture.

We eliminate the stress that comes with recruiting top talent, developing strategic DEI initiatives, and establishing inclusive employee development policies and practices that create an equitable work environment.

Learn more about our company training sessions, career coaching, and DEI strategic planning here.?