There has been a lot of noise of late from "pink slipped" Federal government employees. I understand the bellyaching as people have plans and then a wrench is thrown into those plans, however, sometimes you just have to cut an appendage off to save the body. I always have sympathy for folks that get caught in the middle of a new CEO, acquisition, or a de-escalation in business. I have laid off a shiton (Financial term) of workers in my previous roles in the business world, so I do understand both sides of the equation.
People
People make up a business and owe their "rice bowl" to the whims of things that in many cases are not within their control. It's called Capitalism. Depending on the reason for laying off an employee it is a sad day for upper management when it happens and for the employees not being laid off.
In lay-offs scenarios not due to the employees fault, they were given a "golden parachute" to lighten the transition and to point out to the remaining employees that upper management isn't Genghis Khan.
Employer
There are three times that an employee may find themselves being laid off.
1) Down turn in business (revenue). To save the companies branches/stores/etc. there are some contractions. Typically, a business knows 6-months out that area's of the company will be downsized or closed. Senior management works with the HR department to make sure open positions within the company can be filled by employees that may loose their jobs. Also, there is a hiring freeze for that department. In the end, some will be laid off and those folks will be given a golden parachute.
2) The fastest way for a business to grow is to acquire a competitor. When you acquire a company senior management does not need employees from both companies because there will be a duplication of roles, especially, in the home office. In order to recoup some of the cost of the acquisition, duplicate roles are eliminated. In the acquisitions I have been involved with about 1/3 to 1/2 of the employees are duplicated so they are laid off. Like in the down turn of a business, the employees that are laid off are given a golden parachute.
3) New CEO sweeps clean. It is very common when a new CEO enters the corner office of X company, to have all departments or branches audited. The audit process is a combination of financial and people. Financial is about where the company is over spending, e.g. "sacred cows". Can we find money to save the company and or expand. Add money to your bottom-line P&L (Profit & Loss statement).
Then an audit of the people. Who are the people that will not support the direction that the CEO is trying to steer the business. Audit the people that are too, "sacred cows". We have all worked for a business that has had those. Like in the already addressed above two scenarios, these folks are given a golden parachute.
I am taking the time to explain this because this is how some companies are saved and how successful companies become more successful. We are certainly seeing number 2 & 3 combined from above now in Washington D.C. and around the country when it comes to Federal departments, divisions, or branches. IT IS BUSINESS!
We as a nation hired a new CEO in November. A CEO that has a big ass ego, not unlike most CEO's who wants their legacy to be one of turning this teetering on the edge of a bankrupt nation around. If he is not successful, the nation will go bankrupt. In the end if the nation goes bankrupt it will affect 100% of the nations citizens vs. today only affecting maybe 5% of the nations citizens.
Is it harsh? Yes it is, however, sometimes you just have to cut an appendage off to save the body.
