Dear Roy,
HR professionals are going through a very tough time. Recession combined with the need for cost-cutting in all areas results in pink slips. In most organizations, the person to communicate the pink slip is HR. Even line managers are not comfortable in doing this and pass it to HR. The challenge in front of HR is how to send out an employee who until the other day was like a key player. Moreover, this should not affect the morale of employees who will be staying back. I suggest the following approach, which I am following myself.
1. Be aware of management's strategies. This will help in effective communication with the employees who are going to stay back or be let go.
2. Have open communication with the employees and continuously explain the scenario outside as well as in the organization (without revealing sensitive information). This will help the employee mentally prepare.
3. While giving a pink slip, appreciate the employee's contribution and give positive feedback. Show empathy. Try outplacement options to help the outgoing employee. Please remember, tomorrow an HR person may also be given a pink slip by their boss.
4. As far as possible, inform the employees who are staying back that the outgoing employee has resigned on their own. Don't make the pink slip obvious. This will damage the morale of other staff.
5. Talk positively with the employees and emphasize the need for working as a team to come out of the crisis.
6. If staff welfare measures are implemented, please continue them. If not, introduce them. Staff birthdays, wedding anniversaries, etc., will be vital.
7. HR personnel should not be emotional about pink slips. We should see the reality, accept it, and adjust.
Regards,
Bhavan