How to Manage Your Downsized Workforce

There's no way around downsizing; especially with today's economic challenges, if you manage a large workforce chances are good you'll have to deal with downsizing sooner or later. This can bring a tremendous amount of stress to an otherwise laid-back work environment, and those employees who survive the cut will no doubt suffer doubt and insecurity about their future with the company.

Now's the time to step in and take control of the situation before productivity also flags. Don't make things worse by insisting everything go back to normal right away-that would only make an already tense situation worse. Acknowledge what's happened, and extend the offer to listen to any complaints or fears employees might want to share with you about the company. When you let them know you genuinely care, their tension will ease a few degrees; they won't feel like you're a threat to either them or their job.

You need to make sure you can handle the situation before trying to help others through it. If you aren't confident in your ability, your employees will pick up on that immediately. It's usually a good idea to speak with people outside your company on a regular basis, for your own mental health and to act as a soundboard for ideas. If you begin to suffer from depression yourself, use your company's available resources to find treatment.

The leftover shock and resentment won't dissipate immediately, and will likely cycle through the office for several weeks. Figuring out exactly when the time is right to pick up and move on can be tricky even in the best of circumstances. If it's too early, you may find resentment creeping into the ranks. "Slow and steady" was never a more appropriate phrase than it is now.

Address the subsequent issues in your company that are a direct result of the downsizing as they arise, and your employees will develop respect for how you handle situations compassionately and effectively. Let them know the company hasn't lost sight of its goals, and give them clear, concrete examples as proof of your progress in the market.

The most important thing to keep in mind is that, as a leader, people will be looking to you to help them get through this time of crisis. It's a tough task, one that's fraught with obstacles both from external sources and your own doubts. There's no question this is a difficult time for all involved, but if you remain calm and act as an example for your employees, your company will endure the downsizing crisis mostly unscathed.