LAYOFFS. The dreaded buzzword of today’s troubled economy. With the unemployment rate having skyrocketed to 8.1% in February 2009, the average job search already lasting an average of 19.8 weeks, and the cautious hiring pace predicted to continue ---- it’s no wonder the pain of the sluggish job market cuts deep.
What’s most troubling is that these layoffs affect the entire workforce. To help companies better face these challenges, Bensinger, DuPont & Associates (BDA), a Chicago-based provider of Employee Assistance Programs, offers a program to Support Organizations in Transition that provides a continuum of services for workers facing layoffs as well as management, human resources and employees remaining on the job.
“Workforce reductions are very stressful for everyone involved. Getting the Employee Assistance Program involved early in the planning process, though, can lead to a successful transition and minimize the impact on employees’ productivity, health and well-being,” says Thania Cadet of BDA.
Services for each of these employee populations include:
According to Cadet, research clearly illustrates that offering EAP-related transition services is so vital to companies facing layoffs:
Management/Human Resources: Management and human resource professional face unique challenges during times of employee layoffs. In addition to often being the bearers of bad news, research has found that employees are more insecure after a layoff, have increased work loads, experience higher levels of stress, and have less feeling of teamwork or value to their employer. In fact, the January 2009 survey by the Institute for Corporate Productivity found that 75% of layoff survivors reported a decline in personal productivity, a decrease in customer service, and a decline in product quality. However, workers who gave their managers high scores for approachability, candor, and visibility were 72% less likely to report a decrease in their productivity and 65% less likely to report a decline in the company’s product or service
Downsized Employees: Individuals losing their jobs suffer from more than a loss of salary, often experiencing emotions of relief, loss, anger, frustration, fear and helplessness as they face the stresses of looking for a new job and paying bills. Following notification of job loss, an employee may experience financial, psychological, emotional and physical concerns. Downsizing has, in fact, been shown to increase the risk of employee suicide and workplace violence. Substance abuse, marital problems, excessive gambling and other destructive behaviors are also at risk during this time. (Employee Assistance Report, March 2009). The impact of these concerns can extend to families.
Layoff Survivors: Employees who retain their jobs often go through what organizational psychologists call “layoff survivor syndrome,” the collection of emotional, psychological and physical reactions long documented in workers (survivors) who remain on the job. Being left behind can often be as distressing as being let go. Recently, researchers from the University of Michigan found that the fear of job loss is more damaging to our emotional and physical health than losing our job. In fact, it has stronger links to poor health and depression than actual job loss or a brush with a life-threatening illness.
An unfortunate result of a recession and sluggish economy is that many employers are forced to reduce their work force. Bensinger, DuPont & Associates can help employers develop a plan to assist with employee layoffs, including how to handle employee responses, timing of onsite EAP services and the type of onsite services to offer. As an outside sales representative with a telecommunications company states, "I have been let go, but my last day is not until the end of the summer. I've been feeling stressed about wrapping things up at my job, but also stressed with managing things at home with my family. I decided to use Extended Support Services and the counselor is helping me cope with my anxieties. I am really great full that our company cared enough to put this type of program in place."
Involving the EAP early in the planning process can lead to a successful transition and minimize the impact on employees’ health and productivity.
Bensinger DuPont & Associates is a privately owned professional services company that is dedicated to promoting healthy outcomes for employees, the workplace, individuals and their families through a wide range of consultation, training and counseling services. For additional information, Thania Cadet can be reached at 1-800-227-8620.