Layoffs are never easy. As leaders, we do everything in our power to avoid them. But when economic pressures mount or funding falls short, sometimes they become an unfortunate reality. When that time comes, how you handle the process matters more than ever, both for the people leaving and those who remain.
I recently sat down with Nicole Blevins, Director of HR Services at Xenium HR, to talk through how organizations can approach layoffs with transparency, care, and strategy. Nicole brings a wealth of experience supporting leaders through challenging transitions, and her guidance is a masterclass in balancing business needs with human empathy.
When the Call Comes
Nicole often gets the call from executive directors, CEOs, or COOs who are staring down difficult financial decisions. “Usually they’re trying to figure out creative ways to close a budget gap,” she told me. “We always want to explore all other options first — things like hiring freezes, reduced hours, or internal transfers — before resorting to a layoff.”
In the nonprofit space especially, Nicole is seeing a wave of layoffs driven by expiring grants or withdrawn federal funding. “When you lose the funding that directly pays for a position, there’s often no alternative,” she said.
But even when layoffs are unavoidable, that doesn’t mean they have to be chaotic or cold.
Start with Empathy and Strategy
When clients approach Nicole about a potential layoff, her first response is always to listen. “It’s a heavy decision. Nobody gets to that point lightly,” she said. From there, she becomes a thinking partner, walking leaders through everything from fair selection criteria to scripting difficult conversations.
One of the biggest mistakes organizations make is defaulting to subjective decision-making. That’s why Nicole emphasized the importance of developing a fair and defensible selection process. “We look at questions like: Is this based on a specific department that’s losing funding? Or is it across the board? How can we ensure we’re being consistent and objective?”
From there, she helps prepare documentation, talking points, and manager training, all designed to deliver the news with respect and clarity.
Who Delivers the Message Matters
Nicole is often asked to deliver layoff news herself, but she advises against it. “We didn’t make the decision. And the employee deserves to hear it from someone they know and trust,” she explained.
The layoff conversation should come from the manager or leader who’s worked closely with the employee. That person is best positioned to express appreciation, reinforce the employee’s value, and make it clear that the decision wasn’t performance-based.
“I’m there to support,” Nicole said. “I help answer logistical questions — how to get the final paycheck, where to apply for unemployment — but the message itself needs to come from someone the employee has a relationship with.”
Support Doesn’t End with the Meeting
One of the most impactful ways to lead with humanity is by supporting employees beyond their last day. Nicole shared some of the practical tools she helps clients offer:
- Lists of local recruiters
- Resume tips and templates
- A flyer with unemployment instructions
- A point of contact for follow-up questions
- A willingness to be a reference
“These resources don’t have to cost much, if anything,” she explained. “But they send a strong message: We still care about you. We want to help you succeed, even after you leave.”
If the organization can offer severance, benefit continuation, or access to an employee assistance program (EAP), those options go even further in honoring the employee’s dignity and reducing the emotional toll.
Addressing the Culture Ripple Effect
Even if layoffs are done with care, the ripple effects on culture are real. Nicole pointed out what many of us have seen: survivors’ guilt, lowered morale, and fear of what’s next.
“The person laid off might’ve been a long-time colleague, a friend,” she said. “The remaining staff are wondering, ‘If it happened to them, am I next?’”
Nicole’s response is simple: don’t ignore it. “Have an all-staff meeting. Send a message. Acknowledge what’s happened. Reassure your team that this measure was taken to avoid further cuts.”
Make sure remaining employees know what support is available, whether it’s PTO, EAP services, or a conversation with a manager about workload. People need space to process, and pretending everything is normal only makes things worse.
Communicate Early, Often, and Honestly
Nicole and I both agreed: when leaders go silent, employees fill the void with assumptions. Often, those assumptions are worse than reality.
“You can’t say everything’s fine if it isn’t,” she said. “Be honest. Say, ‘Yes, we’re facing some budget challenges. We’re exploring solutions. We’ll keep you posted.’ That level of transparency builds trust, even in tough seasons.”
And when you keep people informed along the way, layoffs aren’t a blindsiding shock. Employees are better emotionally prepared, and the organization is seen as thoughtful and fair rather than reactive and cold.
Leadership Requires Self-Care Too
Nicole closed with a message for leaders themselves. “Layoffs are incredibly hard on the people delivering the message. You’re carrying the weight of the decision, the pressure to lead well, and the emotions of your team.”
That’s why she encourages leaders to prioritize their own well-being: take breaks, seek support, and make space to recharge so they can lead others with clarity and care.
Final Thoughts
None of us want to talk about layoffs. But when we avoid the topic, we risk causing even more harm. Nicole’s advice is clear: Be transparent. Be prepared. Be human. And never go through it alone.
At Xenium, we’re here to help organizations navigate the difficult terrain of layoffs with empathy, strategy, and care. Because when people are treated with respect in their hardest moments, the culture that remains can still be strong, even resilient, in the face of change.
To hear my full conversation with Nicole Blevins, tune into the Transform Your Workplace podcast.
Brandon Laws is a workplace culture and leadership enthusiast, host of the Transform Your Workplace podcast, and VP of Marketing and Product at Xenium HR.