As a manager I find their really curious. I guess they were trying to avoid leaks. I wonder how they chose who to lay off. Most recent performance rating? Next level managers impression?
As a manager I find their really curious. I guess they were trying to avoid leaks. I wonder how they chose who to lay off. Most recent performance rating? Next level managers impression?
"Ideally", your layoff strategy dictates some cuts regardless of performance: Say we're shutting down the self-driving car division, folding up recruiting, or choosing to accept the risk that comes with getting rid of the whole security team; sadly, the performance of the individuals involved isn't really considered.
Tenure, seniority, and comp are also factors that can come into play & are straightforward to establish without lower-level involvement.
Did you intend this to be a spit take? The sentence read about the same as “Say you’re taking a stroll around town, visit a few cafés, or decide to end the day by jumping into an active volcano.”
The point was more that layoffs can take out big slugs of staff without considering the individual, in a few different ways: initiatives we can just cancel completely (self driving cars); people we will likely need later but less in the shorter term (recruiting); or places where we consciously take on added risk (losing security).
I do think that for the company that sacked their security team, the executives may very well have had a full understanding of the risks it created — but couldn’t easily say so publicly (“we chose to 10x our risk of a security incident, so we keep 1 more product initiative staffed which might save us”). Just speculation. Not a situation I think many of us would be comfortable in.
What was it Steve Yegge said in that legendary platforms rant?
"But I'll argue that Accessibility is actually more important than Security because dialing Accessibility to zero means you have no product at all, whereas dialing Security to zero can still get you a reasonably successful product such as the Playstation Network."
Even if you get bit by a huge data leak, it's just not going to matter that much (from a business perspective) if you already managed to become a big, significant part of the world (like PSN or Equifax - they're still around today, largely unimpacted by their screwups).
If you don't manage to become a big, significant part of the world, security successes or failures just won't matter that much. You don't have a lot of value, because you don't have a huge treasure trove of data, so you're not a primary target for most attackers. You'll sit there being irrelevant, and if there is a breach someday, probably neither you nor any of your handful of customers will actually notice."
Am I content that the world functions this way? No.
But I think it's important to recognize that it does.
When a layoff is known to be coming, the best and most employable people will often head for the doors quickly... leaving the company with a greater concentration of less desirable employees.
If it's by surprise then you'll lose fewer of the people you wanted to keep.
But in this case, nobody is worried about Stripe's long term trajectory or viability. I doubt the best and most employable people are leaving Stripe.
Our managers also had no idea until day of. The entire day was spent watching co workers google calendars and slack accounts. Once they got a meeting booked with HR, their meeting titles all turned into "busy", so we would know who is getting cut and who wasn't. It was a brutal day.
In our case I don't think they were picking people based on performance whatsoever. It seemed to just be about who was paid the best and who in the org structure could have their job removed and someone else take over. Really weird.
So if younger employees are saying it's cutting low performers, and the rest are left as the younger and lower paid workers to pick up the slack, where senior levels are cut indiscriminately or based on salary, because they are higher paid and the goal is to cut expensive workers.
This is totally not true. Usually they make jobs redundant not people. If there's a pool of people doing the same job and that headcount is reduced then it will often be the lowest performers that go however some places have done LIFO or cut the most expensive.
However if you're doing layoffs and you reduce your frontend team the it's likely low performers from the backend team get to stick around.
The one exception might have been when the entire browser division was dropped back in Netscape - everyone was chopped there - but I can't say with certainty whether low-performing Server Division people were impacted (though IT and HR positions were chopped). So - fair, when a division or operating group is cut wholesale, low-performers in other divisions might not be dropped - but knowing the mindset of management - they really like to take advantage of a layoff as a "get out of jail free" card to let someone go. Much less stress, and way, way less paperwork.
That's interesting, but how would you know? suppose you're in a protected class, and suspect some form of discrimination. How would you fight it?
The EEOC investigates workplace discrimination, so if you suspect it, it would help to file a complaint with them. They can gather evidence to determine if discrimination took/takes placr and hold the employer accountable.
If lucky and done right, performance will (inversely) correlate with probability of layoff.
Of course that isn't as easy because of morale, team cohesion, performance evals rarely being comparable across teams, and people being not as fungible as the above suggests. Not to mention all the work this takes, in a time when you probably have other worries. So maybe it's not "really weird", just "not immediately obvious"
Imagine the mechanics if they involved every single low-level manager in decision making. You'd never find 15%. Everyone would justify where a person on their team or their team as a whole deserves to be saved. So you apply broader rules (eg certain products, certain types of jobs, performance based). The upside is that you can avoid people-specific favoritism. The downside is that you lose good people in those areas as you're not distinguishing good from bad.
It definitely allowed management to cut a few people that had been on their short list for a while.
That's something I don't quite get. This adversarial relationship between employees and employers and management is stupid. Why not tell the workforce you have to cut costs, so if you're thinking of changing careers now is the time. Whoever is left presumably wants to stay.
Sure, but if people are going to leave after cost cutting is announced, then you can often shuffle people from those areas into other areas without dealing with whole hiring rigamarole.
To answer your second question, because the ones who leave are often the ones with the most options and lowest risk to themselves if they are unemployed, which highly correlates with those who are the ‘best’ (in most hiring managers minds).
So it’s pretty common for all the ‘high performers’ to bail (happens anyway, but to a lesser extent on it’s own the moment ‘growth’ isn’t the first thing on peoples minds), and the folks left behind to be those that don’t feel comfortable finding another position.
Either because they have a mortgage hanging over their heads, or don’t feel confident in their skills, or are preoccupied with other responsibilities (kids, older parents, etc) and have less free time/are less interested in doing extra hours, or just hate interviewing, etc.
It’s basically the equivalent of a hot/pretty boyfriend or girlfriend. They are able to find other options easier, so tend to be the first to bounce if they stop getting what they want.
If you’re a manager, that’s obviously not great. Especially if you’re shallow.
Maybe, but some of these "best" people might just leave after a round of layoffs anyway right? And now you're even more short-staffed than you wanted to be.
Though the issue they are trying to solve appears to be having too many staff (overall).
Understaffing is almost always a local/team level concern.
As long as nothing important implodes after the cuts, it’s working as intended from their perspective.
The line and middle managers are the ones who always get really screwed in these situations, as they’re the ones responsible for figuring out how to keep who they need and keep things running (and growing!) while having the rug pulled out from under them staffing wise (and probably in other ways too).
This is when you figure out what (if any) power they have, how well they can prioritize, and what their personal character really is.
Will they level with people, cut things that don’t matter (as much), even if it’s a hard decision, give people flexibility where it matters, go up to bat for folks who it’s important that be done?
Or will they deflect, throw people under the bus to avoid making hard calls, and emotionally manipulate who’s left to keep things afloat while burning them out and underpaying them?
You may not get the number of volunteers you need, so you still have to do layoffs. Except now, more people have been stressing about it for a longer period of time.
The "low performers" who will have a hard time finding a new job elsewhere are unlikely to voluntarily leave. So you offer a buyout package to derisk the decision for them. But then the "high performers" who you'd rather retain might decide that yeah, it's easy to get a new job, so they'll take a sack of cash and go do something new.
So what I'm suggesting is that you announce ahead of time and let people who were considering a change go ahead.
Then when that deadline is reached, you offer those buyout packages to the low performers or others you don't want, until you reach your target.
However, I think a lot of people really struggle with uncertainty. During these six months, especially in a large corporate environment, there would be a lot of horse-trading. Employees will seek assurances they won't be fired. They may avoid projects or people they think are likely to get cut.
At the same time, the business likely has an idea of where they want to go. The "in" managers will navigate their preferred people to safe projects. But there isn't room in the boat for all of their employees -- after all, the business has announced the target for layoffs.
This was my experience when I was at Microsoft during their horribly ill-conceived layoffs in 2009. They basically announced that there would be 3 rounds of layoffs tallying up to 5,000 people over the next several months. It was... incredibly demoralizing.
I still remember one fellow on my team who got fired in the 2nd or 3rd round. He took it poorly (understandably!) and then ripped into the people who didn't get fired (also understandable, but still really shitty).
I don't really know that the advance warning helped him. I think he knew he was likely to get fired when layoffs were announced. Being a dead man walking... not very good for anyone, really.
Uncertainty is important in general but right here right now I’ll take it.
(1) you're fired immediately, with 3 months severance pay
(2) 6 months notice, at the end, you're fired with no severance pay
you'd prefer the second choice?
That's reasonable!
The uncertainty I was describing in my comment applied not only to the fired employees, but to the ones who were being kept. From the company's perspective, there's value in providing clarity to those employees. That's why they'd rather pay 3 months severance (and get no labour from the employee) vs paying 6 months notice (and, theoretically, getting 6 months of labour from the employee).
Far better for everyone involved to do it quick rather than perfect. Those getting let go shouldn't see it coming and those staying shouldn't find out before it's all been done.
In effect noone will lose their job quickly unless there is a bankruptcy.
There is probably way less confusion in that way since you know that security guards wont escort you out any minute ...
I work at one of the mega-cap tech companies and manage a large team of engineers. It's extremely clear to me based on various pieces of information that I have access to that we'll be having a significant round of layoffs sometimes in the next quarter or two, yet I have zero involvement in the process. I suspect that at some point I'll be officially "told" that it's happening; perhaps the morning of?
But in every case, I was either consulted for input, or at least given a courtesy heads before the actual layoffs occurred.
In one case I was looped in a few weeks out and asked to help narrow things down. In another case I was simply shown a list of names the night before and offered a token opportunity to object. The list was sound, and I'm pretty sure my boss was doing me a solid on that one by sparing me the hardest decisions.
Line managers aren't always looped in for a few good reasons. Mainly, to prevent leaks. But also I think it can go a long way towards maintaining morale in a post layoff environment. There are countless anecdotes in these threads with people claiming their managers had no idea. Those same employees are now far less likely to be resentful of their managers for laying off their friends.
Best of luck. I don't envy being in your position.
ones at my company were decided by the next level manager, based on the most recent perf review