Survivor’s guilt after a layoff: What HR can do

Layoffs can be tough for everyone involved. For HR and leadership, there’s a delicate balance between making the right business decisions and staying compassionate toward employees. For those who lose their job, there can be a mixed bag of emotions like shock, disappointment or anger, mixed with a lot of uncertainty. 

And for employees who are left after a layoff, the threat of another around the corner or survivor’s guilt about co-workers who were laid off can cause a breakdown of company culture. During any internal shifts such as layoffs, HR should put an extra focus on culture and the employee experience to prevent layoffs from damaging company culture.

Survivor’s guilt: What is it and why does it happen?

Although layoffs are everywhere in the news, what happens after a layoff is less talked about. 

The guilt that those who are left after a layoff – often called survivor’s guilt – can have a devastating effect for company culture. “‘Survivor’s guilt’ is common following layoffs at an organization, and this sudden change can drive a drop in morale, causing remaining staff to become more disengaged with their work and their organization,” says Christopher Pappas, founder of eLearning Industry. “In fact, most (70%) ‘layoff survivors’ admit their motivation has dropped since layoffs took place.”

After the relief of still having a job subsides, those left after a layoff can have different and complex emotions, such as:

• Wondering “why me?” if team members or close co-workers were laid off
• Feeling anger or disappointment toward the company as a whole or business leaders, and
• Worrying about another round of layoffs that could affect their job security.

“Job cuts are stressful and emotional for everyone, and for the employees who aren’t directly impacted, most feel more overworked since layoffs happened,” says Pappas. During layoffs, Pappas recommends employers show appreciation for all staff, including those laid off as well as those struggling with survivor’s guilt, and let those affected know as soon as possible to give them ample time to start job hunting. “CEOs who lead the layoff process with compassion will show remaining employees that they are respected and valued, even amid tough business decisions and cuts, minimizing damage to culture and morale.”

Rebuilding company culture

Layoffs can be a chaotic and hectic time for companies, especially when it comes to internal restructuring and figuring out how the business will run when a significant number of employees are let go. All of the moving parts of a layoff can mean that the employees who are left can often feel unheard and overworked as they try to adjust to the changes of a layoff. Here are a few steps from Pappas on how to rebuild culture after layoffs. 

Lead with integrity. “First and foremost, companies need to have integrity as a core value,” says Pappas. “To do that you need a strong inner moral compass; aka being honest with your workforce.” Leaders who are mindful and transparent with their communication will make employees feel valued and heard. Leaders may want to ask for feedback from employees, assess how workers are feeling after the layoff and let them know of any changes within the company.

Keep employees in the loop. “Considering almost three-quarters (74%) of employees think they’re missing out on company news and information, this is an improvement area for many organizations,” advises Pappas. “Whether it’s through increased transparency or experimenting with new communication methods, workplaces that strive to make sure employees feel in the loop with company updates and changes stand the best chance of rebuilding their culture.”

Understand employees’ wants and needs. To rebuild culture after a layoff, leaders should strive to meet remaining employees’ wants and needs. “ Whether they start with benefits, hybrid or remote work options, DEI or learning and development opportunities, these are all key aspects of company culture that leaders can strengthen and expand,” says Pappas.

What HR can do to help employees struggling with survivor’s guilt

The biggest way that HR can help employees struggling with survivor’s guilt is through conveying value to help employees understand that their work and contributions are seen and appreciated. 

“Employers must ask them directly about their expectations, whether it’s during all staff meetings, one-on-one meetings with managers or through anonymous surveys or feedback documents,” Pappas recommends. “Simultaneously, employers must make a conscious effort to ensure employees that their contributions are valued and they have a future within the company. To accomplish this, workplaces can offer more learning opportunities and prioritize employees’ professional development.”

Employees dealing with survivor’s guilt after a layoff can experience a complex range of emotions, so it’s important to address each need, whether it be to help employees understand that their job is secure, they’re not to blame for the employees who were laid off or that the work they’re doing is truly valuable to the organization.