{"id":26567,"date":"2023-10-21T12:34:08","date_gmt":"2023-10-21T19:34:08","guid":{"rendered":"https:\/\/www.intoo.com\/us\/?p=26567"},"modified":"2023-12-12T13:39:50","modified_gmt":"2023-12-12T21:39:50","slug":"how-to-prevent-employee-turnover-after-layoffs","status":"publish","type":"post","link":"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/","title":{"rendered":"\u200b\u200bHow to Prevent Employee Turnover After Layoffs: 4 Effective Strategies"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Organizations sometimes face the challenging situation of having to lay off employees due to financial constraints, restructuring, or downsizing. While layoffs are often unavoidable, they can have a significant <\/span><a href=\"https:\/\/www.intoo.com\/us\/blog\/how-to-support-remaining-employees-after-layoff\/\"><span style=\"font-weight: 400;\">impact on the remaining employees<\/span><\/a><span style=\"font-weight: 400;\"> as they face uncertainty, loss, and increased workloads. This can cause further employee turnover. However, employers can take proactive measures to prevent employee turnover and mitigate the negative effects of a layoff. <\/span><span style=\"font-weight: 400;\">In this blog post, we will explore:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">What is employee turnover?<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">How employee turnover can negatively impact a workplace<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">How turnover contagion happens<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Four effective strategies to prevent turnover contagion after layoffs<\/span><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400;\">What Is Employee Turnover?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Employee turnover refers to the process of employees leaving their jobs. There are two types of employee turnover: voluntary and involuntary.\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Voluntary turnover<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Voluntary employee turnover refers to the process of employees leaving a job of their own free will. This type of turnover can occur for a variety of reasons, including lack of <\/span><a href=\"https:\/\/www.intoo.com\/us\/solutions\/career-development\/\"><span style=\"font-weight: 400;\">career growth opportunities<\/span><\/a><span style=\"font-weight: 400;\">, personal reasons, dissatisfaction with the job or the company, or a desire to pursue a different career path. Some voluntary turnover is expected in any business, but when it happens in large numbers or often, it\u2019s worth investigating what may be causing employees to leave. It can also become prevalent following a layoff, with the spread of low morale and fear among remaining workers. This increased attrition is called \u201cturnover contagion.\u201d\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Involuntary turnover<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Involuntary employee turnover refers to the process of the removal of employees by a company. Situations where a company asks employees to leave, such as layoffs and <\/span><a href=\"https:\/\/www.intoo.com\/us\/blog\/how-to-fire-someone\/\"><span style=\"font-weight: 400;\">termination with cause<\/span><\/a><span style=\"font-weight: 400;\">, are examples of involuntary turnover.\u00a0<\/span><\/p>\n<h2><span style=\"font-weight: 400;\"><img loading=\"lazy\" decoding=\"async\" id=\"longdesc-return-26577\" class=\"aligncenter size-full wp-image-26577\" src=\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/11\/AdobeStock_322494949.jpg\" alt=\"An employee leaves the office with a box of his belongings.\" width=\"640\" height=\"360\" longdesc=\"https:\/\/www.intoo.com\/us?longdesc=26577&amp;referrer=26567\" \/>How Employee Turnover Can Negatively Impact a Workplace<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Voluntary turnover can have both positive and negative effects on an organization. On the one hand, it can lead to fresh perspectives and new talent coming into the company. On the other hand, it can result in the loss of valuable knowledge and experience, as well as increased costs associated with recruitment and training of new employees.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Involuntary turnover such as a layoff also can result in the loss of knowledge, but can have more widespread effects on the workforce due to the stress it can impose on employees when they witness their colleagues losing their jobs. Many employees choose to leave following a layoff due to fear over their own job security or the general health of the company. And so layoffs can result in the loss of more employees than originally intended, multiplying the negative impact on those remaining.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Do Layoffs Increase Turnover?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Negative reverberations can be felt at every level of an organization following a layoff. It\u2019s at these moments that employees need the support of their managers, extra time to process the loss of their colleagues, and assurance that their jobs are secure. Yet managers may be experiencing the very same concerns, along with the pressure to produce results with a decreased workforce. <\/span><span style=\"font-weight: 400;\">Employees may also take layoffs as a sign that company performance may be a longer-term concern. They may worry that there will be more waves of layoffs to come and want to find security in a new position at a different company. When morale is low and employees are short on time, patience, and optimism, engagement and loyalty can nosedive, and one employee after another may exit. This is how turnover contagion happens.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But this phenomenon is preventable when you have a plan to <\/span><a href=\"https:\/\/www.intoo.com\/us\/blog\/layoff-survival-checklist\/\"><span style=\"font-weight: 400;\">address these inevitable concerns<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">4 Effective Strategies to Prevent Turnover Contagion After Layoffs<\/span><\/h2>\n<h3><span style=\"font-weight: 400;\">1. Transparent and timely communication<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Layoffs can create anxiety and uncertainty among remaining employees, and rumors and speculations can quickly spread, leading to a toxic work environment. To prevent this, organizations should provide <\/span><a href=\"https:\/\/www.intoo.com\/us\/blog\/how-to-write-a-layoff-memo\/\"><span style=\"font-weight: 400;\">clear and honest communication<\/span><\/a><span style=\"font-weight: 400;\"> about the reasons for the layoffs, the impact on the organization, and future plans. Employers should allow their workforce to ask questions in an open environment that ensures every team member hears the same information. It is essential to communicate in a timely manner, both before and after the layoff, to address questions and concerns and provide regular updates. By being transparent and keeping the lines of communication open, organizations can build trust, reduce anxiety, and increase retention.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">2. Provide support and resources<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Employees who witness their colleagues being laid off may experience survivor guilt, increased workload, and job insecurity\u2014either real or imagined. As a result, they may begin looking for new employment elsewhere. To prevent this, employers should provide support and resources to the remaining employees, such as counseling services, regular check-ins with managers, training programs, career coaching, and workshops on resilience and stress management. Organizations should also consider offering flexible work arrangements and workload adjustments to help these employees manage the changes caused by the layoffs. Lastly, employees can be rewarded in recognition for their extra efforts following a layoff. By acknowledging what employees are experiencing, employers can help employees feel valued, motivated, and committed to the organization.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\"><img loading=\"lazy\" decoding=\"async\" id=\"longdesc-return-26575\" class=\"aligncenter size-full wp-image-26575\" src=\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/11\/AdobeStock_571133418.jpg\" alt=\"An employee speaks with a counselor at work following layoffs.\" width=\"640\" height=\"427\" longdesc=\"https:\/\/www.intoo.com\/us?longdesc=26575&amp;referrer=26567\" \/>3. Career development and growth opportunities<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Employees may be more likely to leave the organization after a layoff if they feel that they no longer have career growth prospects with the company. It can be particularly helpful during these times for employers to focus on providing <a href=\"https:\/\/www.intoo.com\/us\/solutions\/career-development\/\">career development opportunities<\/a> to the remaining employees to prevent turnover contagion. This can include offering <\/span><a href=\"https:\/\/www.intoo.com\/us\/solutions\/outplacement\/career-coaching\/\"><span style=\"font-weight: 400;\">career coaching<\/span><\/a><span style=\"font-weight: 400;\">, training programs, mentoring, job rotation, and cross-functional assignments. Employers can also consider implementing personalized career development programs for each employee, which identify their career goals, resources to meet those goals (such as training and coaching), and potential career paths within the company. By investing in employees&#8217; professional growth and providing them with a clear career path, organizations can ease their worry, increase their job satisfaction and commitment, and reduce the likelihood of them leaving.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">4. Survey employees<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Determining your employees\u2019 specific concerns\u2014beyond the obvious ones about job security and the future of the company\u2014can help you prioritize strategies for moving forward after a layoff. Some may be worried that they won\u2019t have the skills to perform new duties that have been foisted on them, while others may be concerned that they won\u2019t have the chance to advance. Layoffs often result in restructuring departments, and some workers may feel additional loss as they are moved away from those they previously worked with closely.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While you may have a good guess at why employees are leaving, you won\u2019t know the detailed reasons that may cause employees to leave unless you ask them. <\/span><a href=\"https:\/\/www.intoo.com\/us\/blog\/employee-survey-feedback-what-to-do\/\"><span style=\"font-weight: 400;\">Surveys<\/span><\/a><span style=\"font-weight: 400;\"> are not only an effective way to glean this information\u2014they also demonstrate that you are interested in what your employees think. Explain to your workforce how the surveys will be used, emphasize that they will be anonymous, and put forth a plan to act on the results. Then, keep your organization updated as changes and\/or improvements are made.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Voluntary Employee Turnover Is Preventable<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Layoffs can have a significant impact on remaining employees, and organizations need to take proactive measures to prevent them from leaving. By implementing strategies such as transparent and timely communication, providing support and resources, and offering career development and growth opportunities, and surveying workers, organizations can prevent employee turnover and create a supportive environment for their employees. By prioritizing employee well-being and engagement, organizations can navigate the challenges of layoffs successfully and ensure the long-term success and sustainability of their workforce.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Why is it Important to Calculate Turnover Rates?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Turnover rates help employers better understand the health of their organizations. Regularly monitoring how many professionals leave a company can draw attention to potential issues that may go unnoticed, especially if the turnover rate sharply rises between monthly or quarterly calculations. Noticing a decrease in turnover can indicate that your organization is conducting itself appropriately.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For example, work cultures can impact company retention rates. If the number of employees leaving your organization continues to rise, then there may be improvements you can make to the workplace that help employees feel content with their positions. The results of a turnover calculation can reveal if the changes made a positive or negative impact on your business. Supplementing this strategy with employee surveys will take the guesswork out of determining which issues are upsetting your team.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A low turnover rate often translates to having effective hiring policies and quality employee management. Providing your staff with a positive onboarding experience can reduce the likelihood of new hires leaving their positions due to feeling unprepared or unsupported by your organization. The management techniques employers utilize also play a significant role in how long an employee stays with a company.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">How to Calculate Employee Turnover<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The first step to calculating turnover is to determine the number of employees currently active at your organization at the start of the month and the end of the month. Afterward, find out the total number of professionals who left your company that month.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Then, you need to determine the average number of employees you had for the month by adding the number of employees in the workforce at the beginning and end, before then dividing the total by two. For example, if you had 3,000 employees at the start of the month and 2,500 employees at the end, then your average number of employees would be 2,750 people.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The next step is to divide the total number of employees who had left your organization from its average employee number. Continuing the example from before, let&#8217;s say the total of professionals who left your company was 500. You would divide 500 and 2,750 to get 0.18.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Multiply the result of the previous step with 100 in order to get your employee turnover percentage. In this example, multiplying 0.18 by 100 results in 18%. This means the turnover rate for your organization was 18%.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If you want the annual turnover rate for your company, then you would replace the monthly figures in the first step with the number of employees who were part of your company at the start and end of the year.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">What is the Cost of Employee Turnover?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">While retaining employees is important to sustain the operations of your organization, there are also financial repercussions to consider when needing to replace your employees. Businesses often pay 1.5 to 2 times the amount of an employee&#8217;s salary toward turnover costs. Replacing vacant positions is more expensive than maintaining the satisfaction of your team, especially when you consider the costs associated with advertising jobs and training new hires. The productivity of your business may also suffer due to the inexperience of trainees.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Finding resources for improving employee motivation and contentment in the workplace can help reduce turnover and its sizable costs. One way for employers to give their staff positive workplace experiences is to provide them with career development programs and offer regular training. Investing in the development of your professionals can improve their commitment to their positions.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Companies can also use personal assessments like CliftonStrengths to help identify the strengths of their employees. The tests have been shown to improve employee engagement while at work and develop soft skills like collaboration. <\/span><a href=\"https:\/\/www.intoo.com\/us\/solutions\/\">INTOO<\/a> helps employers of all sizes with cost-effective solutions for every stage of the employee lifecycle, including\u00a0candidate experience, career development, and outplacement services. <a href=\"https:\/\/www.intoo.com\/us\/contact\/\"><b>Contact us<\/b><\/a> to learn how we can make a difference for you and your employees.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Organizations sometimes face the challenging situation of having to lay off employees due to financial constraints, restructuring, or downsizing. While layoffs are often unavoidable, they can have a significant impact on the remaining employees as they face uncertainty, loss, and increased workloads. This can cause further employee turnover. However, employers can take proactive measures to [&hellip;]<\/p>\n","protected":false},"author":6,"featured_media":26579,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":"","_links_to":"","_links_to_target":""},"categories":[77],"tags":[257,302,392,393],"class_list":["post-26567","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-layoffs","tag-career-development","tag-employee-surveys","tag-employee-turnover","tag-voluntary-turnover"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.9 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How to Prevent Employee Turnover After Layoffs | INTOO<\/title>\n<meta name=\"description\" content=\"Voluntary employee turnover can increase after a layoff. INTOO offers strategies and tips for retaining employees after a reduction in force.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to Prevent Employee Turnover After Layoffs | INTOO\" \/>\n<meta property=\"og:description\" content=\"Voluntary employee turnover can increase after a layoff. INTOO offers strategies and tips for retaining employees after a reduction in force.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/\" \/>\n<meta property=\"og:site_name\" content=\"INTOO US\" \/>\n<meta property=\"article:published_time\" content=\"2023-10-21T19:34:08+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-12-12T21:39:50+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/04\/AdobeStock_466003945.jpeg\" \/>\n\t<meta property=\"og:image:width\" content=\"800\" \/>\n\t<meta property=\"og:image:height\" content=\"534\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Robyn Kern\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Robyn Kern\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"9 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/\"},\"author\":{\"name\":\"Robyn Kern\",\"@id\":\"https:\/\/www.intoo.com\/us\/#\/schema\/person\/2887896020eb2923cf4d878684504054\"},\"headline\":\"\u200b\u200bHow to Prevent Employee Turnover After Layoffs: 4 Effective Strategies\",\"datePublished\":\"2023-10-21T19:34:08+00:00\",\"dateModified\":\"2023-12-12T21:39:50+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/\"},\"wordCount\":1874,\"image\":{\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/04\/AdobeStock_466003945.jpeg\",\"keywords\":[\"career development\",\"employee surveys\",\"employee turnover\",\"voluntary turnover\"],\"articleSection\":[\"Layoffs\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/\",\"url\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/\",\"name\":\"How to Prevent Employee Turnover After Layoffs | INTOO\",\"isPartOf\":{\"@id\":\"https:\/\/www.intoo.com\/us\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.intoo.com\/us\/blog\/how-to-prevent-employee-turnover-after-layoffs\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/04\/AdobeStock_466003945.jpeg\",\"datePublished\":\"2023-10-21T19:34:08+00:00\",\"dateModified\":\"2023-12-12T21:39:50+00:00\",\"author\":{\"@id\":\"https:\/\/www.intoo.com\/us\/#\/schema\/person\/2887896020eb2923cf4d878684504054\"},\"description\":\"Voluntary employee turnover can increase after a layoff. 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