tech layoffs

How can companies take advantage of mass tech layoffs?

Massive tech layoffs are causing 2023 to have a strong start in the Human Resource departments and the agendas of many employees, although this is not the same case for all.  

In the early months of 2020, some multinationals (often referred to as the tech giants) had to make significant staffing expansion efforts to adapt to the “online” era that emerged from the covid pandemic. However, now that the need for personnel is over, these companies are rapidly shedding a large part of their workforce.  

This policy results in the infamous mass tech layoffs, which have caused thousands of workers to be laid off in recent weeks following major job cuts that began in 2022. It is not hard to imagine that several managers in these corporations are delaying the upcoming work environment survey for these teams: as who knows what could result from it at a time like this. 

Capturing talent with mass tech layoffs

When analyzing this phenomenon, we must consider the game of musical chairs that has taken place worldwide in the wake of the so-called “Great Resignation”. This trend was partly motivated by the need for workers to respond to their burnout syndrome and other adverse conditions that ended up generating bad experiences for the employees

There is no doubt that the conjunction of large-scale organizational movements (the Great Resignation combined with the massive tech layoffs) creates an interesting scenario for the recruitment field. 

Contrary to the opinion of some managers of large corporations, it should not be completely ruled out that we are facing a labor market full of highly specialized workers in different disciplines. They would come from large technology companies but also from other fields. These workers are, more than ever, available to join new organizations and perform in new roles

tech layoffs

An opportunity for small businesses 

These organizations are sometimes humbler than those to which these employees belonged before resigning or being fired. Therefore, these employees could be the great beneficiaries of this corporate storm. 

For this reason, HR managers should make a significant effort in attempting to make the most of this situation. However, they must do so quickly since many employees who have become available after mass tech layoffs tend to find a new job much faster than the average worker.  

This is why HR managers are the ones who must recruit skilled workers who, at this moment, are part of that professional mass that decided to take a career break but can rejoin the field. They should attempt to find those who have been temporarily benched in the recent wave of mass tech layoffs and would be happy to close this gap as soon as possible by being rehired. 

Advantages of switching to a small company 

It is likely that, in some cases, the new smaller companies will not be able to match all the rigid conditions that some workers may have enjoyed. However, it is also possible that, given the circumstances, it may not be all about matching the role, functions, or pay they had in the past.  

Instead, the key may be to offer these employees the kind of experience that their previous jobs could not provide, increasing the relevance of employee well-being and quality of life. 

Who are the protagonists of mass tech layoffs? 

The approach we have just described is critical when properly initiating the phases of a selection process with this type of potential employee. These nuances must always be considered, even more so in such circumstances. We can summarize some of the characteristics of employees currently “available” because of mass tech layoffs in this way: 

1. Not too hungry  

Just because these employees have recently been laid off does not mean they are eager to urgently return to a job situation like the one they had.  

Many of them will be able to count on a good margin for negotiation, and that is where companies that aspire to attract them must listen to them carefully to offer them a little extra. Consequently, that will make them fall in love with them. 

2. Not too conforming 

Suppose they are a part of the Great Resignation. In that case, we are dealing with people who made the difficult decision to put their psychological well-being before a job that may have had good economic conditions but may not have necessarily protected their quality of life.  

We are therefore talking about demanding, courageous and assertive employees. A persuasive key factor to speak about with the employee is how they should join a new professional project in a very different type of company. 

3. Not too impersonal  

In this regard, the key to convincing them will not lie primarily in detecting their weakness as unemployed individuals and using that as an in. On the contrary, presenting them with a combination of conditions in the workplace will convince them that the employee experience is based on the prevention of psychosocial risks

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How to act in the event of dismissal?  

1. Do a good offboarding 

You never know when you will cross the path of the people you have worked with so far. If you can, be cautious in the exit interview. Try not to take advantage of the moment to charge against the company firing you.  

2. Keep calm 

Coping psychologically with unemployment has -in a certain sense- its technique, like everything else in life. Try not to panic, analyze the situation without overestimating its consequences and put it in its natural context without sweetening it or catastrophizing in the short, medium, and long term. Do not be in a hurry to learn something from this experience or come out stronger. Resilience at work has its limits and its rhythms.  

3. Mobilize your network of contacts 

If you decide to enter the job market, especially in a job like the one you have done so far, your next job will most likely be found for you by someone you know or a connection you may have. Mobilize your network of contacts, inform them of the situation, and make a good first impression at the first job opportunity they have access to. 

4. Dust off your resume 

Becoming unemployed is the golden moment to take your old resume out of the drawer and update it in both form and content. Review it, correct it, and start familiarizing yourself with other types of documents, such as a cover letter or motivation letter. Look at your social networks and make sure they protect your online reputation. 

5. Take care of your mental health 

Unemployment is a stressful experience that affects self-esteem, mood, and other aspects of a person’s mental health and relationships. Give yourself time to adjust to the new situation, assimilate the contrasts, seek support from your network, and set yourself up for constructive decision-making.  

tech layoffs

Boosting emotional well-being in organizations 

Inevitable shifts in the labor market can make it easier for companies needing personnel to grow without expecting it. The important thing is they can capture the talent others leave available for different reasons.  

At ifeel, we offer you our global service of emotional well-being for companies, designed by our team of expert psychologists in well-being at work. This collaboration allows managers in the area of People, Talent, and Human Resources to receive personalized and data-based advice on how to take care of the psychological well-being of the teams they oversee.  

Do you belong to the Human Resources department of your organization? Try our program now to see how it could help you. 

In addition, our program offers all employees a complete mental health care service that includes emotional support and online therapy with one of our professionals.  

Don’t forget that in our Resources section, you can find different materials, such as podcasts and HR Guides on various topics (for example, a workplace well-being glossary, a guide to preventing burnout, or how to properly approach OKRs from an HR manager’s point of view). You also have interviews with top HR managers. In addition, we have a Psychosocial Risk Factors Template, which you can use to comply with the requirements of the Labor Inspection. 

We hope you found this post about tech layoffs interesting. If you would like more information about our emotional well-being program for companies, simply request it, and we will contact your team as soon as possible.

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