1. If your company is going to experience a reduction in force of more than one employee, you should first check your federal and state labor laws. Specifically WARN (Worker Adjustment and Retraining Notification). This may impact your decision on the extent of the layoffs.
2. Create and implement a severance plan. Assuming that you are providing severance, require the employees affected by the layoff to sign a release in order to receive severance and/or extended benefits. Treating all employees the same under a severance plan limits the company’s exposure and sends a consistent message to the group.
 
3. Have a clear plan for communicating the layoffs to the employees. Make sure the managers deliver a consistent message and coach them on exactly how the meeting should be conducted.  If there are any inexperienced managers delivering the message, draft a script to help them with the process.
4. Make sure that you are prepared for the unexpected.  If necessary, have security on standby to assist with any possible disgruntled employees or disturbance.
5. As soon as possible after the layoffs occur, communicate with the remaining team members. Either managers should meet with their employees, or a company meeting should be held to let people know what just happened and to give them some direction on the future. This will help stem rumors and keep productivity going.
 
6. Finally, managers need to be compassionate, clear, and consistent with their messages. Depending on your company’s size and industry, you may want to have a termination policy/procedures document in place.