The Coronavirus Crisis Doesn’t Have to Lead to Layoffs
During a crisis, the path between corporate denial and layoffs is often a short one. For weeks, our corporate clients and contacts waved off concerns about a potential economic impact from the Covid-19 (coronavirus) outbreak. Then something changed around March 9. First, our contacts told us they were restricting visitors to their offices and encouraging remote work. Now, only a few days later, we are hearing that many them are considering layoffs to ensure they make it through the crisis — and a recent survey found that a vast majority of corporate leaders are considering some sort of financial action as a result of the pandemic.
To be sure, a cost-cutting reflex is understandable. Leaders are obligated to make responsible decisions to keep their companies afloat. But those who manage the economic effects of this crisis in a clear and compassionate way create more value for their companies and will come out of this pandemic stronger than ever before. So before announcing deep layoffs, we recommend that you consider these measures first.