27 signs your company is about to conduct mass layoffs

In my career as a journalist, I’ve lived through two rounds of mass layoffs.

While I didn’t see either of them coming, hindsight is always 20/20, and I now have a much better sense for when the tides are changing. I also appreciate how much even a little bit of notice can help in the transition.

To get a better understanding of the signs that layoffs are coming, I polled others who’ve been through them, scoured the news about high-profile mass layoffs, and crawled the depths of the internet.

If you notice a combination of these signs in your own company, it may be time to start looking for a new job.

The most obvious sign: Executives confirm layoffs are coming

Executives including Twitter’s Jack DorseyESPN’s John Skipper, and Sears’ Eddie Lampert have sent memos to employees detailing imminent layoffs.

Executives hint at layoffs using other terms, like ‘restructuring’

HP, which has been going through layoffs since 2008, proves there are many indirect ways of saying “layoffs.”

CEO Meg Whitman and other HP executives have used terms like “downsizing,” “restructuring,” “reorganizing,” “incremental synergies,” “offshoring,” and “streamlining.”

Intel CEO Brian Krzanich used the term “headcount reductions” in an email he sent to employees about rumored layoffs.

And IBM has referred to layoffs as “workforce rebalancing.”

If you hear or see these terms bandied about, it’s time to brace yourself.

Your company gives you a ‘non-negotiable’ job offer

If you don’t take the non-negotiable job offer, you will get laid off.

In 2015, HP gave a group of several hundred employees in its struggling enterprise-services unit an unusual ultimatum: Either take the new job we’ve lined up for you — or get laid off without severance.

Your company is trying desperately to save its dying flagship product

“A sign that layoffs are coming might be that the company’s flagship product, the one product that has always defined them, starts to struggle and they want to save it,” says Cork Gaines, a sports reporter at Business Insider who has covered layoffs at ESPN.

Gaines explains that in 2015, the broadcaster was facing a very basic problem: “Costs — in this case the cost to own the rights to broadcast sporting events — were skyrocketing and revenue — the number of subscribers to satellite and cable companies — was falling.”

Additionally, Gaines says that some of ESPN’s shows were losing ratings, including its flagship product, “SportsCenter.”

“It’s difficult to overstate how important ‘SportsCenter’ was for ESPN in the years before the internet made everything more accessible. ‘SportsCenter’ was must-watch TV for any sports fan. But the show’s ratings have fallen, and ESPN is struggling to keep it relevant,” Gaines reported on Business Insider after ESPN laid off 100 employees in April.

So ESPN decided to try some new things to save the show. “That meant some people were out, others were in, and still others got moved around,” Gaines says.

A WARN notice has been issued

If more than 250 full-time employees are being laid off, or if 25 or more full-time employees are being laid off and this constitutes 33% of all workers at the site, a company must file a Worker Adjustment and Retraining Notification (WARN) with the state’s Department of Labor (DOL) 90 days prior to the layoffs.

This is public information that can be found on a state’s DOL website. As an example, here’s the New York site.

Your company’s IPO flops

As Business Insider’s Alexei Oreskovic reports, layoffs are often a symptom of a souring market. If your company’s IPO flops, it could be a sign layoffs are coming.

Your company is hiring too fast

For a while, Groupon was the world’s fastest-growing company.

When the company opened its offices in Korea just two and a half years after launching, it hired 300 people in a week by pulling them in off the street, The Telegraph reports. At the time the company had already expanded to more than 40 countries.

In 2015, however, the company announced it would lay off 1,100 people and would close operations in seven countries.

There are many successful companies that grow rapidly, hire aggressively, and then settle down. But when a company grows rapidly, it risks overshooting its needs, and may eventually be forced to make tough decisions.

Your company gets acquired or merges with another

After Kraft and Heinz merged last year, it announced that the combined company would cut 2,500 jobs, Fortune reports.

Mergers frequently lead to layoffs. As Business Insider previously reported, “synergy” is a word that should terrify employees: “Synergy is what you get when you eliminate redundancies in your efforts to cut costs.”

There’s already been a round of layoffs

The first round of layoffs is rarely the last.

  • NobodysaysBOO

    USE in office SURVEILLANCE tech we bugged the meeting rooms and board rooms back in the seventies and knew exactly WHO,WHEN and WHY the layoffs happened way BEFORE and the executives where SHOCKED. LOL

    Cash IN ALL your company benefits if you have any stock,401k transfers and loans, borrow from the credit union to the maximum, slow DOWN, make mistakes, train your REPLACEMENTS to FAIL. Go on STRIKE before the layoffs. Protest the bosses in PUBLIC!
    YOU CAN make them BEHAVE !

    • Jeffrey Spinner

      Bravo. You think the Disney employees trained their replacements to actually do the jobs they are being replaced for?

      If they did, ffs, man!

      It’s ALWAYS better to give than receive.

      Stay safe man.

      As the country collapses, have a list, check it twice and don’t get angry, get even. I don’t think the gov’t realises how many men are hoping for societal collapse, because, oh man, this can of whoopass I’ve been waiting to open is ready today.

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