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Layoff stories like that are all too common. Managers often take a clinical approach when breaking the bad news, fearing they'll get sued if they say the wrong thing, or end up facing angry -- even violent -- employees. But being too cautious can make a boss seem downright heartless.
Executive coaches say small-business owners in particular could use a lesson or two in easing the pain, since they often don't have human-resources specialists to help them out and they may go for long stretches without firing anyone.
Here's some expert advice on how bosses can best express their regret over layoffs and leave their former employees with dignity and self-respect -- and maybe a little less anger.
1 Say the right things.
A manager should sit down in a private area and clearly tell the employees one on one that they are being let go and why, says Karen Lucas, a Chicago executive coach. Bosses who rarely have laid off employees before should rehearse what they will say, and even bring notes into the meeting, so they don't say the wrong things or forget something important.
The basics: Be direct in telling people the company can no longer employ them and explain in detail the financial hardship causing the need for layoffs. And even if performance issues factored into your decision, tell the employees it's not their fault -- it's yours -- and that you've tried to avoid layoffs as much as you could.
People feel better if "you're giving them a sense that this was not an easy decision but this was a decision that needed to be made," says Ms. Lucas.
At the same time, refrain from talking about other employees' situations, which could raise questions of fairness. And don't bring up problems with an employee's performance if you haven't discussed them before. Stick to the point: Explain the financial circumstances that caused the need for layoffs.
You should also give the employee time to react. Some people will be angry, some will cry and some will do nothing at all. But give them time to process what's happening and to ask the questions they need to ask.
Also realize that they may not take in everything you say at such a tough time. So, Ms. Lucas and others recommend presenting laid-off employees with written materials explaining the terms of their layoff, including any severance or other benefits they qualify for.
One final thing to remember: It's good to show sympathy and regret for the situation, but don't pretend you know how they feel, warns Leila Bulling Towne, a San Francisco executive coach. "Fact is, you don't know how they feel, because you're not getting laid off," she says. "Saying that will just make them feel worse."
2 Help them move on.
You can soften employees' pain over the job loss by helping them find their next job, especially now with the economy so bad. Present a list of possible resources for the terminated employee, such as job-placement experts or contacts at other companies hiring in your industry. Assuming they are solid performers, offer to give them a good recommendation and perhaps even reach out to acquaintances who you think may be hiring.
It's also important to consider timing. Some managers prefer to handle layoffs on Friday afternoons, assuming that it gives everybody a chance to decompress. But Ms. Lucas recommends handling layoffs on a Tuesday or Wednesday, so people can immediately do something about their job situation, such as contact a career counselor or a prospective employer. Otherwise, they may just spend the weekend ruminating over the bad news.
3 Allow for transition.
Fearing retribution, some companies have security escort newly laid-off employees immediately to the door -- perhaps allowing them a short detour to their desks to collect belongings.
Not only is this a major insult to employees who have worked hard, but it kills the morale of the employees who witness it. Unless there's valid reason to believe employees will act out, give them some time -- even a few weeks -- to announce their departure to colleagues and plan their next move.
Paul Silvis, founder of Restek Corp., a chromatography company, says he has laid off about 60 employees over the years. He usually allows someone who has been laid off to stay on for up to a couple of months to give the person time to find a new job. He also says he does all he can to coach them and help them find a new position.
Of course, he must trust the individual employees enough to think they'll act appropriately. And they're asked to sign a contract with some ground rules, such as promising they won't steal competitive information.
But Mr. Silvis says the employees feel less like they're being kicked out the door. "The primary thing we try to do is let them leave with their self-esteem," he says.
