this post was submitted on 30 Jan 2025
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Depends on if the good people have better places to go, I guess. My guess is that you're probably going to lose people who have some amount of tenure, especially if you're the kind of company that gives equity that vests on a 4-year schedule. Even if you're not, people with some amount of tenure will be the ones trending towards being checked out already.
Losing people with tenure means you lose organisational memory, which can definitely be negative.
This is all to say that as an organisation, you should think twice about doing any kind of layoff. They are all bad in their own way. This just happens to be the format that is least bad for most workers, which is why I prefer it.