About a year ago, the chief operating officer of a large public company that was going through a significant downsizing, scoffed at the concept of layoff survivor sickness. Despite hard survey and interview data that showed employees were demoralized, depressed, and unwilling to take risks, he thought spending time and money to help get them back on track was unnecessary and a waste.
Since then, the company has continued to downsize, profits have disappeared, and the remaining workforce is traumatized. The chief operating officer has, himself, been laid off and his replacement is now asking for help. If this organization had taken action a year ago their may have been a better prognosis for the patient. There is a merger in the wind and that might help bail the firm out. Unfortunately there are a couple of other remaining executives in this company who still feel helping heal the survivors is a waste of money. So, even though the firm asked for help, I declined. I prefer to work with optimistic firms where the top management is not in denial.
This is not an unusual situation. I have found that there is a hierarchical denial phenomenon in many organizations. Many concerned managers and HR executives have to work very hard to convince their top managers that there is a problem. It is somewhat like “the bigger they are, the harder they fall,” because almost always when the top managers themselves are laid off, they receive a conceptual wake-up call and understand the problem for those who remain.
Much of my consulting practice these days involves finding ways to get the attention of top managers. I have found the best way to do this is to show them the horrible effects on productivity and profits if they ignore the problem.
