Holiday layoffs: What now?
Why Companies Lay People Off During the Holidays—and How to Survive
A good friend of mine just experienced a holiday layoff. I’ve been there myself—twice. One came just after Thanksgiving last year, and another in early December from a previous role. I’ve also had to make the tough decision to lay people off during the holidays.
Let me be clear: holiday layoffs are brutal.
For the person being let go, it feels personal, no matter what you’re told. It’s a sudden, unwelcome shock in what’s supposed to be the season of joy. For leaders making the decision, it’s a different kind of pain. Knowing you’re upending lives during what should be a time of celebration doesn’t feel good, no matter how justified the business case may be.
So why do companies make these painful decisions at this time of year?
Why Holiday Layoffs Happen
It’s tempting to think companies are heartless, and sometimes they might be. But there are practical, often unavoidable reasons these decisions are made during the holidays:
Year-End Budgeting: As companies review their finances for the next fiscal year, leadership may identify areas where cuts are necessary. Headcount reductions, though painful, are often viewed as the quickest path to cost savings.
Restructuring Ahead of a New Year: The end of the year is a natural break in the business cycle. Leadership often uses this time to reorganize teams and operations to hit the ground running in January.
Tax and Financial Considerations: Layoffs before December 31 can impact taxes, balance sheets, and other financial metrics. These decisions aren’t about individuals—they’re about spreadsheets.
Hiring Cycles: Odd as it may sound, some companies believe letting people go in December gives them a better shot at finding a new job in January, when hiring tends to pick up.
These reasons don’t make layoffs less painful. But understanding the why can help jobseekers avoid taking it personally.
To the Newly Laid-Off: This Doesn’t Define You
If you’ve been laid off, the weight of rejection and fear can feel overwhelming. You’re likely replaying moments, wondering if there was something you could have done differently. The answer? Probably not.
Layoffs are rarely about you as an individual. They’re about what the company needs—or thinks it needs. Your worth hasn’t changed, even if your circumstances have.
Here are some ways to take back control, even in the face of uncertainty:
Grieve the Loss. It’s okay to feel hurt, angry, or scared. A layoff is a loss, and it’s natural to mourn it. Give yourself permission to process these emotions.
Reframe the Narrative. Being laid off doesn’t mean you failed—it means the company made a choice that had nothing to do with your value.
Use the Holidays to Reflect. While the timing feels cruel, the holidays can offer a chance to reset. Spend time with loved ones, reflect on your next steps, and take care of yourself.
Remember That Hiring Doesn’t Stop. Despite the myth that no one hires in December, many companies are still filling roles. Don’t pause your job search—you might miss an opportunity.
Ask for Help. Reach out to your network. People want to help, but they can’t if they don’t know what you need. Be specific about what you’re looking for.
For Leaders Making These Decisions: Empathy Matters
If you’re a leader facing the unenviable task of laying people off during the holidays, remember this: how you handle this moment will define your leadership.
Here’s how to show empathy and integrity in a difficult situation:
Be Honest and Transparent. People can handle the truth, even when it’s hard. Share as much as you can about the reasons behind the decision.
Offer Support. Whether it’s severance, career coaching, or networking opportunities, show your team you care about their next steps.
Acknowledge the Impact. Don’t sugarcoat it. Acknowledge that this is painful for everyone involved, and express your gratitude for their contributions.
Moving Forward
The holidays are supposed to be a season of light, but a layoff can cast a long shadow. If you’re navigating this experience, know that you’re not alone. Take it one step at a time, and trust that brighter days are ahead.
To the newly laid-off: What’s one small step you’re taking to move forward? Share it in the comments. Let’s support each other.
And to my fellow leaders: How can we handle these situations better? I’d love to hear your thoughts.How You Can Support Job Seekers
How You Can Support Job Seekers
If you’re reading this and haven’t experienced a layoff yourself, you might wonder how to help those who have. Small acts of kindness and support can make a huge difference. Here are a few ideas:
Share Job Postings. If you see a role that might be a fit for someone in your network, send it their way or tag them in the comments.
Make Introductions. Use your connections to open doors for others. A quick introduction email can lead to big opportunities.
Offer to Listen. Sometimes, what job seekers need most is someone to hear them out—without judgment or unsolicited advice.
Engage With Their Posts. If they’re sharing job updates or LinkedIn content, interact with it. A like, comment, or share can boost visibility and help them reach a broader audience.
The holidays are a time for giving, and your support could be the gift someone truly needs right now.