All this recession talk is starting to create a self fulfilling prophecy. Companies immediately start deciding whom they can layoff without considering the morale of the remaining employees. A disgruntled, waiting-to-be-laid-off, overworked employee is not only unproductive but can also potentially be dangerous. The more disgruntled employees get, the more customer service suffers and your clients start to defect.
Instead of using layoffs as the first option in a downturn, invite folks to generate creative strategies to survive economic turbulence without reducing staff. One of my most popular articles “Don’t Shrink—RETHINK!” offers some options to get you started on growing rather than shrinking during tough times.