Do Layoffs Cause the People Who Were Left Behind to Quit, Too?

I think we can all agree on the fact that layoffs are awful for everyone involved. They’re awful for the people who are losing their job, and they’re awful for the employer who has to figure out how to work with a team that is suddenly a lot more lean. But one group that gets overlooked are the people who are left behind. They are also feeling the strain of the layoff, in many different ways.

The big question is: are the people left behind after a layoff more likely to quit? The answer is yes, and the numbers are pretty overwhelming! Research has shown that when employees are laid off or terminated, the chances that their direct colleagues will end up quitting afterward was 7.7% higher than if those employees had remained employed with the company. (source).

What are the main reasons people quit after a layoff? Let’s go through the top three:

Reason #1 - They’re Experiencing “Survivor Syndrome”

“Survivor Syndrome” is pretty much what it sounds like. It’s a term used to describe the feeling someone has when they’ve "survived" a round of layoffs. It includes a lot of guilt and sometimes confusion over why they were spared over someone else. It might sound dramatic but people who experience this describe it as a very real and overwhelming feeling. It can even start to impact their ability to function in their role, especially since they’ve probably had to absorb new tasks that were once handled by someone else.

As you can imagine, this scenario creates a perfect storm for job dissatisfaction to the point where a lot of people end up leaving because of it. If this is something you’re going through, have an honest discussion with your supervisor before it gets to a breaking point.

Reason #2 - They’re Nervous About the Future

Layoffs can happen for a lot of reasons, and sometimes it has nothing to do with the long-term health of the organization. However, employees who are left behind are almost always going to interpret a layoff to mean that the company is in trouble. It is very important that companies are transparent about why the layoffs are happening – not just in the moment but in follow-up meetings with team members weeks or even months down the line.

Worries and fears like this have a tendency to fester and grow over time, so companies need to be committed to transparency while watching for signs that people are feeling fearful about the future. It’s a great idea for leaders to schedule more one-on-one meetings than usual with remaining team members to talk openly about what’s happening in the organization and what impact it will or won’t have on their role or workload.

Reason #3 - They’ve Lost Their Social Network

Have you ever filled out a workplace evaluation that asked whether you have a friend at work? You might have wondered why that question even exists. Well, according to Gallup, “having a best friend at work is strongly linked to business outcomes, including improvements in profitability, safety, inventory control, and employee retention.” People with friends at work are also more likely to be innovative and share ideas, which is a great thing for the organization.

If you have a team member with a best friend at work, and that friend gets laid off, it’s going to be pretty devastating for the person left behind. Without their social network, they might lose interest in their work, feel lonely, and it’s very likely their output will suffer. Once this happens, it’s difficult to get them re-engaged and they’ll probably start looking at other job options.

Layoffs are extremely tricky, and they need to be well planned and executed in order to keep everything running as smoothly as possible after the fact.

If you’ve been “left behind” after a workplace layoff, I’d love to know if any of this resonates with you. And if you are looking for a new role, I’m here for you! You can schedule a call with me here and we can chat through your next steps and options!