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Why is every layoff 10-15%?

blog.eladgil.com

41–50 of 263 posts

Re: Why is every layoff 10-15%?

#41
"Now is a time for CEOs and their teams to give themselves permission to toss out old assumptions about their company, mode of operating, growth targets, team, culture and mission. There will be few opportunities to make big changes like in the current environment."

Good luck. If you think CEO's give a damn about success you really don't know what the job of executives is for.

Re: Why is every layoff 10-15%?

#42
post #13

> Remote work > Anticipate more mid-size and smaller companies will go back more fully into the office as times get tougher. This will not be one size fits all, but will be an increasing trend. Up to this point in the article, whether you agree or disagree with the points, the author offers some arguments and reasoning supporting each. Here, they simply assert that small and mid-size companies will go into the office…

Companies will require RTO because it makes employees more productive. I've worked at one small and one large company during the pandemic involuntary WFH. In both cases productivity was noticeably worse, most especially for new employees onboarding remotely. I think WFH a couple days a week makes me more productive due to focus, but I'm unproductive and miserable now when none of my teammates ever come in. We're laughably disconnected and not functioning like a team. Zoom and Slack are just no substitute.

Re: Why is every layoff 10-15%?

#43
post #29

Earlier quoted context omitted.

I'm sure every executive is calling back to their days studying roman history when they decide how much of a layoff will balance the books/turn the company profitable for its stakeholders.

10% is just the right amount, that has been proven empirically over few millennia, to stiffen discipline and improve results

[deleted]

Re: Why is every layoff 10-15%?

#44
post #13

> Remote work > Anticipate more mid-size and smaller companies will go back more fully into the office as times get tougher. This will not be one size fits all, but will be an increasing trend. Up to this point in the article, whether you agree or disagree with the points, the author offers some arguments and reasoning supporting each. Here, they simply assert that small and mid-size companies will go into the office…

Companies will require RTO because it makes employees more productive. I've worked at one small and one large company during the pandemic involuntary WFH. In both cases productivity was noticeably worse, most especially for new employees onboarding remotely. I think WFH a couple days a week makes me more productive due to focus, but I'm unproductive and miserable now when none of my teammates ever come in. We're laug…

my remote only company is way more productive than my previous in-person company, so there’s the counter anecdote to your anecdote

Re: Why is every layoff 10-15%?

#45
post #13

> Remote work > Anticipate more mid-size and smaller companies will go back more fully into the office as times get tougher. This will not be one size fits all, but will be an increasing trend. Up to this point in the article, whether you agree or disagree with the points, the author offers some arguments and reasoning supporting each. Here, they simply assert that small and mid-size companies will go into the office…

He seems to be writing for CEOs. Reading further he seems to figure that CEOs will be able to reassert control of employees by forcing them back to the office since employees are not going to be able to easily jump ship for another job. As CEO now is your opportunity to rethink remote work. You may decide you want to continue as is, or you may want to make changes. You have an opportunity to act. Not that returning t…

> but many CEOs will tend to believe that things will go better with everyone back in the office

Many of us SWEs believe the same!

Re: Why is every layoff 10-15%?

#46
post #27

Fortunately I've never had to invoke blanket headcount cuts. But, as an employer, I've been given the advice "cut once, cut deep" many times. The theory (which I understand) is that employees get skittish once you get to a second or third cut. The author suggests some companies could stand a 50% cut if that is what is needed. This month though we've seen twitter cull 50% and twitter users, and customers (advertisers)…

yeah I think Twitter isn't useful here. Having a dramatic change of management + a layoff + serious product upheaval is definitely different than just a layoff. Now Elon is ending a policy literally called "Work From Home Forever" and with no flexibility -- back to the office 5 days a week. Why would an employee feel safe when literally everything about Twitter changed overnight?

And when the firing is coordinated by an outside party with little-to-no relevant expertise. It's hilarious that they immediately tried to hire back people they fired.

Re: Why is every layoff 10-15%?

#47
post #13

> Remote work > Anticipate more mid-size and smaller companies will go back more fully into the office as times get tougher. This will not be one size fits all, but will be an increasing trend. Up to this point in the article, whether you agree or disagree with the points, the author offers some arguments and reasoning supporting each. Here, they simply assert that small and mid-size companies will go into the office…

Companies will require RTO because it makes employees more productive. I've worked at one small and one large company during the pandemic involuntary WFH. In both cases productivity was noticeably worse, most especially for new employees onboarding remotely. I think WFH a couple days a week makes me more productive due to focus, but I'm unproductive and miserable now when none of my teammates ever come in. We're laug…

>> during the pandemic involuntary WFH

There you go. A lot of companies that were forced to WFH -don't actually want it- and so haven't invested in changing their culture to actually be effective at it. Some companies that -have- embraced it...also haven't changed their culture to actually be effective at it. But some want it, and have, and, oddly, I think they're in the majority, since studies keep showing an increase in productivity and employee happiness https://www.apollotechnical.com/working-from-home-productivi... .

Re: Why is every layoff 10-15%?

#48
post #27

Fortunately I've never had to invoke blanket headcount cuts. But, as an employer, I've been given the advice "cut once, cut deep" many times. The theory (which I understand) is that employees get skittish once you get to a second or third cut. The author suggests some companies could stand a 50% cut if that is what is needed. This month though we've seen twitter cull 50% and twitter users, and customers (advertisers)…

yeah I think Twitter isn't useful here. Having a dramatic change of management + a layoff + serious product upheaval is definitely different than just a layoff. Now Elon is ending a policy literally called "Work From Home Forever" and with no flexibility -- back to the office 5 days a week. Why would an employee feel safe when literally everything about Twitter changed overnight?

Yeah, Twitter is basically a running case study in what not to do when it comes to acquiring a company successfully, and can't be held up as anything other than "what happens when you do everything wrong". Certainly, it's not a useful example for others, even as a warning, because you can't easily tell what bad actions led to what bad consequences; there are so many of both.

Re: Why is every layoff 10-15%?

#49
post #13

> Remote work > Anticipate more mid-size and smaller companies will go back more fully into the office as times get tougher. This will not be one size fits all, but will be an increasing trend. Up to this point in the article, whether you agree or disagree with the points, the author offers some arguments and reasoning supporting each. Here, they simply assert that small and mid-size companies will go into the office…

> Won't many small and mid-size companies have come up under covid and not have an office lease in the liabilities column? Were they started during Covid? Office leases are typically at least 5 years, so most existing companies will still have them, hence return. Edit: removed assertion assertion

Indeed and many are in long term leases that can be 10 or 20 years and these companies leased (or even built) for growth. They have also invested in building rooms, buying equipment, power and networking. To these guys it is feeling like they wasted a lot of money and of course they are going to think about this investment and want folks to come back to the office.

As the job market is changing, I am worried about my work-from-home status despite having started over a year before the pandemic. I just think there is going to be a mass get your butt in the office email that will include everyone.

Re: Why is every layoff 10-15%?

#50
post #13

> Remote work > Anticipate more mid-size and smaller companies will go back more fully into the office as times get tougher. This will not be one size fits all, but will be an increasing trend. Up to this point in the article, whether you agree or disagree with the points, the author offers some arguments and reasoning supporting each. Here, they simply assert that small and mid-size companies will go into the office…

I think employers might have a hard time convincing their entire remote workforce to sell their house / break their lease and move to entirely new city.
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