The CIPD warns that UK employers are preparing for their biggest redundancy wave in a decade. HR teams face unprecedented challenges.
Leaders must not only ensure that they comply with the law, but also take a proactive and strategic approach in order to manage this turbulent period as smoothly and efficiently as possible. They must lay the foundation for an organisation that is resilient. How can HR professionals achieve this?
Upskilling and reskilling the HR team to bridge talent gaps
The HR team must be equipped with the skills necessary to handle complex layoff transitions. The traditional HR functions weren’t necessarily designed to deal with the massive workforce reductions that have occurred in recent years.
To prepare for large-scale organisational changes, organisations need to nurture their HR teams by upskilling them and reskilling them. It can be as simple as facilitating training in change management or exploring new employee engagement strategy.
Equipping teams with the necessary skills to effectively navigate changes in the workforce is a key part of future-proofing your HR operations. Training on legal best practices and empathetic communications will help HR professionals manage transitions with confidence and compassion.
Investing into HR teams not only improves the ability of the department to manage transitions efficiently, but also ensures that the remaining staff is supported in difficult times.
Prepare for sudden changes with proactive workforce planning
It is true that no organization would want to find themselves in the position of having to make mass redundancies. However, this can happen without warning. It is important that HR departments prepare for the worst-case scenario by incorporating layoff plans into their daily planning, rather than reacting in a kneejerk fashion.
HR teams need to develop contingency plans that are robust by managing resources strategically. This will allow them to anticipate future workforce needs and prepare accordingly. It is important to monitor employee probationary periods in order for HR teams to anticipate future staffing requirements, identify performance concerns and make informed decisions about retention or transition.
It minimises disruption and supports employee wellbeing by providing timely feedback. This also prevents rushed decisions that could negatively affect both the employee as well as the organisation.
Prioritising non-negotiables is another important aspect of planning. HR and leadership teams should consider these factors to ensure smooth transitions both for employees and for the organisation when there are reductions in workforce.
It is important that the HR team maintains transparency in their communication. They should also provide career transition support to affected employees, and ensure company values are upheld throughout the entire process. An HR team that is well-prepared will be better able to handle workforce changes with confidence, rather than scrambling for a solution.
Reduce manual work by automating HR processes
The administrative burden associated with mass layoffs is often overwhelming for HR departments, especially when it comes to severance packages and termination paperwork. Manual processes slow down operations and increase the likelihood of human error. Our most recent research revealed that manual management of tasks such as policy and process change leads to increased errors (54%), diverts time from strategic initiatives which drive business value (53%), and puts HR at risk for burnout and decreased motivation (48%).
Automation of HR processes is essential to improve accuracy and efficiency. Digitising HR functions such as termination letters, severance payment and document self-service can streamline offboarding. It helps HR teams centralise their documents and ensures affected employees get accurate information.
Automation is also important in maintaining compliance. It is difficult to ensure that layoffs are compliant with local employment laws, as they vary from region to region. Automation can be used to generate termination documents that are compliant and keep audit trails for future use. It reduces the likelihood of legal disputes, and ensures all processes are aligned with global policies and laws.
HR teams can spend less time on administrative tasks by integrating automation in workforce reduction strategies. Instead, they can concentrate on strategic tasks that are of high value, such as employee communication, support and long-term planning.
Adopting an approach
HR teams are required to handle mass layoffs and ensure compliance with employment laws. It is not sufficient to ensure compliance with the law. Organisations need to adopt a strategy that prioritizes proactive workforce planning, investments in HR skills, and the implementation digital solutions. This will help reduce HR workloads at a time when it may seem overwhelming.
In the end, HR teams need to adapt in order to be a strategic force for workforce resilience. HR teams can manage layoffs efficiently and with empathy by focusing on transparency, employee support, and digital transformation.
