Good morning!
This week started with another round of layoffs at Twitter, but let’s talk about another wave of dismissals happening just outside the limelight—what some call “backdoor layoffs.” In an effort to cut costs while dodging the consequences of a layoff, some employers are creating unfavorable workplace conditions that encourage employees to leave on their own accord.
It’s a more quiet practice than announcing mass job cuts, but just as unsettling to employees. I first saw murmurs of the trend on LinkedIn, in which employers make work conditions uncomfortable, placing the responsibility on workers to decide whether to quit.
“The moves, though not labeled as layoffs, can at times have a similar effect in thinning a company’s ranks," according to the Wall Street Journal. "It is also a sign that bosses at white-collar firms are back in charge after struggling to retain workers in recent years amid a tight labor market."
Some corporate demands include asking employees to return to the office or retracting location flexibility—cue the anticipated outrage. Employees at companies like Disney and Amazon have sounded the alarm on these strict policies, taking to the web to share their distaste and sign petitions.
Asking employees to relocate or take a pay cut is another form of a quiet layoff. (Dare I mention Walmart?) Even if an employer provides a relocation package, moving can be costly and pull workers away from integral social support networks. “It really pisses people off. It’s a huge mistake unless you’re trying to get those people to quit,” Google’s former head of HR, Laszlo Bock, told Fortune last year.
While this practice helps trim extra fat without a splash, it often deteriorates trust and psychological safety more than layoffs. In other words: Open the backdoor at your own risk.
Amber Burton
amber.burton@fortune.com
@amberbburton
