Big Tech is (re)discovering something that I've been telling clients for years: how you treat employees on the way out is just as important as how you treat them while they are working for you.
I was quoted in Business Insider this week on the trend of tech companies offering buyouts before layoffs, including Microsoft's new voluntary retirement program. My take: maybe buyouts won't shrink headcount as fast as a layoff will, but they don't leave behind the same wreckage for the people who stay, or the people you'll want to hire next.
This isn't new to me. Long before the buyout "trend" re-emerged, "have you considered a buyout instead" was my default advice as both in-house and outside counsel whenever a client wanted to do a layoff. When clients followed through on this advice, it was always to their benefit.
For employees, buyout packages tend to be more generous, and there's a real difference between choosing to leave a job and being told to go. As someone who represents individuals going through exactly this decision, I can tell you firsthand: that difference isn't just theoretical. It's how people talk about their departure years later. Read the full story here.
