Even when restructures are handled ‘well’, the emotional fallout rarely ends when the last person moves on. The people who are left are still processing what’s happened. They’re still wondering: “What’s next? Am I safe? Do I even want to stay?”
And while the instinct for many leaders is to ‘rally the troops’ and refocus - morale, productivity, and culture don’t just snap back into place because things have moved on. Whether we want to acknowledge it or not, this impacts trust.
According to McKinsey, over 60% of employees say their trust in leadership takes a hit after layoffs - and just 23% believe their organisation handles them well.
Image: Ron Lach, pexels
Most leaders want this whole process to feel fair. HR teams work really hard to make it considered and transparent. But fairness - real fairness - is hard to guarantee when people are losing jobs.
The emotional cost of trying to make it fair, but still having people leave the organisation hurt, confused or angry? That sits with the people who are left behind. The leaders who deliver the news. The teams managing the fallout. No one comes away from this untouched.
At this point, trust is fragile. Productivity might look okay on the surface. But underneath, people are hesitant, feeling disconnected, and more likely to leave the minute a better offer comes along.
Most organisations overestimate how ‘fine’ people are, and underestimate how visible and human leaders need to be during these moments.
This isn’t a comms issue - you can’t out-message emotional reality. People don’t need perfect answers, but they do need leaders who turn up, consistently and honestly. That’s where confidence is rebuilt and it’s not something HR can deliver for them.
And while all eyes are on those exiting, those staying behind are watching too. They’re the ones who carry the weight of ‘what’s next’ and they often do that without support, clarity, or the energy to engage with another round of ‘transformation’. They’re expected to just move on - quickly.
If you're trying to keep your culture intact and motivation stable while things are tough, you don’t need to do it on your own. Let’s talk about what your leaders and teams need.
And let’s not forget: the leaders delivering this change are also human. They’re shouldering the emotional weight of making hard decisions while being expected to rally others. People teams have a crucial role here - not in teaching leaders what to do, but in creating space for them to stay grounded, capable and themselves in the middle of it all.
This period of change is a real test of leadership and it’s one that most people aren’t trained for.
If you’re looking for space to help your or your senior team lead through this without losing their people in the process, get in touch.