Comments

My big pharma company is facing a crisis. There will be at the end of march 92 persons fired.
I think the CEO should behave in a specific way, that I describe on my (french) blog :
http://managementetmoi.blogspot.com/search/label/plan%20social

Posted by MonsieurJ at January 29, 2009 3:34 PM

And, if you want any credibility, be sure you cut executive salaries and perks way back, before you fire anyone.

Posted by Mike L. at January 29, 2009 4:59 PM

I felt that the article didn't do justice to Tom's position. "How to fire right" implies that all the thinking about whether to fire or not is done and the only thing to consider is how to do the deed. Tom's position seems to be the opposite. First figure out if you really need to lay people off. Then make your choices carefully. Then handle things as compassionately as possible.

Mike's right about cutting bonuses and perks first. Nucor is a good model. Looking for ways to keep an intact workforce is important too, like Lincoln Electric. And be sure to consider the layoff survivors.

Posted by Wally Bock at January 29, 2009 6:11 PM

Tom's new book is actually titled:

"In Search of Sanity;
Authenticity in Times of Austerity;
Adequacy in Times of Amazon, McDonalds & Wal*Mart"

A number 1 bestseller in Rupert Murdoch's NY Times Bestseller List 2009!
Thank you Rupert for reviving that birdcage fishwrap tabloid! :>)

Posted by Contraire at January 29, 2009 6:58 PM

The heading for this post is stupid. There is no right way to fire anyone. Recruit people who want to work with you to achieve transparent goals, ensure you keep them accountable, and run an equitable shop. If hard times come then totally re-frame your goals and start recruiting some of the talent your competitors are letting go. If you have to start paying anyone less in 09 than you did in 08 then perhaps you should go into another line of business. Recession means an opportunity to recruit new customers, users, consumers or new talent for your enterprise. If after all you have to part ways with some staff, or customers for that matter, do it on gracious and generous terms. Make sure they become special 'goodwill' ambassadors for your enterprise whether they stay working with you (or purchasing from you) or leave to pursue better opportunities for themselves as staff or customers.

There is no right way to fire a customer nor a staff member.....

Posted by Richard Lipscombe at January 29, 2009 8:45 PM

TP - Thanks for this. Thank to Shelley to for posting it.

Mike L. - I wonder if the $18 billion given to executives last year in bonuses while receiving a bailout could be paid back NOW.

Posted by Judith Ellis at January 29, 2009 9:07 PM

Back in 2001 recession, I was working for a small company with 200 developers. The boss wanted to cut costs. So, he wanted to layoff people. Every month, for nine months, he fired 5 developers. To make it compassionate, he had a lot of 100 developers who he did not mind fired and he would randomly pick 5 developers every month. Call that compassionate firing. Thankfully, this time around, I am placed well. I would not be having to worry but if I were fired, I would start something on my own!!

Posted by Vijay at January 30, 2009 3:19 AM

Great topic and one that brings back bad memories. The act of canning someone is the worst thing I ever had to do as a manager. Luckily I didn’t have to do it very often. I still have bad feelings of a time, over 25 years ago, when I had the job of firing a hospital porter. He was as guilty as the day is long of theft which constituted gross negligence. It was about three weeks before Christmas; he was married with two young children. I spent two sleepless nights worrying about having to do the dirty deed. I knew it was the correct decision but when he sat opposite me and I looked him in the eye it hurt me as much as it hurt him. I consider that as one of the lowest points of my career. Anyone who ENJOYS canning people must be sick. Dignity, fairness and compassion are required more than ever in the firing scenario. Six weeks ago a good friend was fired verbally. Over a month later he had not heard officially from the company and had received no paperwork. If this was not such a trusted friend I would have trouble believing that in 2009 we still have such pathetic, uncaring, pretentious arrogant management. Words fail me on such things.

I was fortunate enough to be in the audience in London, in 2006, when Tom Peters said in a seminar “Life is too short to work with jerks” – In my view there are still far too many ‘jerk’ managers. Caring for your people is not difficult and it is something that should just be a natural extension of normal behaviour.

Posted by Trevor Gay at January 30, 2009 5:06 AM

An underlying presupposition that many employers bring to the table is that their people are a commodity to be managed. We manage 'things' but we need to lead people.

Even if a firing is necessary - lead by example. Cut your own salary, benefits, etc. first. Follow that by being humble. Care about your employee and do everything in your power to help them find another position.

Your genuine help and empathy will increase understanding and save a valuable relationship.

Posted by Kim Avery, Certified Career Coach at January 30, 2009 6:41 AM

I agree with a lot of the above. One interesting comment is the terminology. To me firing someone or sacking is when they have done wrong or under performed i.e. you are firing the person and may rehire and redundancy is removing the position. Is this just a UK terminology?

Posted by PaulH at January 30, 2009 8:29 AM

Firing (RIFs, heh, corporate double speak at its finest) of good people is sometimes unavoidable.

My big pet peeve from my Corporate America days: when the poobahs would talk about "cutting heads" - with no thought given to the actual feelings, bodies, families, hopes, dreams, in and attached to those "heads." (Do I really need to note the poobahs still got their "performance" bonuses?)

There are, indeed, right ways to fire people, including customers.

Posted by Mary Schmidt at January 30, 2009 11:23 AM

To fire may also be interpreted to aim: "To determine a course or direct an effort."

Even if the ultimate action requires firing, the aim is important and how one aims equally as so.

Posted by Judith Ellis at January 30, 2009 2:29 PM

Firing, as I used to tell my team, does not get any easier, you just get a little better at it with experience.

The last firing that I was a part of was corporate bulls&*t. A guy that worked for me was targeted for termination (lay off) by the executive team. Even though he was in a protected class (over 40), the least highest paid, and had the most seniority, he was targeted for extinction. Even though I'd protested about the move 2 days prior, instructed leadership to "vet" the move with HR prior to action, the firing manager didn't listen to a word of my petitions. There were two other similar positions in the market and both individuals were in their early thirties, higher paid, and possessed less talent and knowledge. The problem was that the younger managers had worked directly for the current Vice President; the "It's not what you know, it's who you know" BS.

The day the deal went down, I objected, and in protest...quit. This was March of last year and I had nothing lined up. I walked away from a position that was paying me a flat 100k with bonus potential. As TP and Trevor have stated, "I couldn't work with jerks" anymore. I wasn't going to hang around while I looked for other employment. Good move or bad move? Great by my standards, as I left on my own terms and integrity.

The best way...the most productive way I've found, is to just be honest. Honesty with integrity, ethics, and a dose of humanity helps people on both sides through the process.

Posted by Candy Man at January 30, 2009 3:20 PM

The only safe career these days is telling
people they are fired.

Posted by stevenColbert at February 2, 2009 8:36 PM

Until they fire everybody, and then they have no career...

Posted by Candy Man at February 2, 2009 10:33 PM