A new study found some companies are using layoffs as a sneaky way to fire underperforming employees.
Over half of 600 business leaders surveyed by ResumeBuilder.com admitted that 75 percent or more of their company layoffs in the past year were not necessary for cutting costs.
The survey, published on Tuesday, found that 80 percent of business leaders said their company chose to layoff an employee instead of firing them.
The top reason for disguising termination decisions behind layoffs was to maintain company morale.
‘A disturbing trend is emerging where organizations reduce their workforce under false pretenses,’ said Resume Builder’s Chief Career Advisor Stacie Haller.
Over half of 600 business leaders admitted that 75 percent or more of their company layoffs in the past year were not necessary for cutting costs
On social media, some employees have taken to recording themselves doing ‘get ready with me’ routines announcing they think they are about to get laid off
‘This lack of transparency is further highlighted by our survey, which indicates that numerous companies use layoffs as a cover for firing employees who are underperforming.
‘Instead of addressing performance issues directly, these companies cite cost reductions as the reason for layoffs, obscuring their true motives.’
Other reasons leaders said they hid firings as layoffs was to avoid wrongful termination claims, having to avoid paying severance and to avoid hurting an employee’s feelings.
In recent months, companies such as John Deere, Microsoft and CNN have all announced layoffs.
On social media, some employees have taken to recording themselves doing ‘get ready with me’ routines announcing they think they are about to get laid off.
‘I’m not 100 percent sure that I’m actually getting laid off, but I did get a meeting on my calendar with a really head guy I never meet with or shouldn’t have a reason to meet with. Just a little bit suspicious,’ Darby Olson said in a TikTok.
‘I work in consulting and I’m a data scientist. I have not been staffed on a client in quite some time now, so that’s why I think they might not need me anymore.
A TikTok user named Grace posted about getting ready for a performance review then finding out her teammates were getting laid off
‘Honestly I feel like I’ve been at such a standstill with this job. It was my first job right out of college and I know it’s time for me to move on but I was in golden handcuffs because this job, it was remote, unlimited PTO, it was literally so chill.’
Olson followed up the routine confirming she was terminated and captioned her post ‘time for a hot girl unemployed spring.’
Another user named Grace posted about having a similar experience.
‘I’m about to head into my annual review for work, but my teammate who had his review right before me just texted me that he got laid off,’ Grace said.
‘I was actually [on vacation] last week then I came back and lot of people were gone and it looks like I might be joining them.’
She then recorded herself getting laid off by Human Resources and confirmed she would get four weeks of severance pay.
