You’re not alone. We are seeing more companies in this position. And it’s a difficult one to be in. The first thing to remember is that the people affected are told first; that includes those let go and those staying. Sometimes information leaks out and people hear rumours from the grapevine. Or – worse – they hear the truth from media or other sources. This should never happen.

In addition, telling those left behind how the business will cope with the reduced head count is vital – they are likely to be demotivated, terrified of losing their jobs and worried about having to take on someone else’s workload. They may even have survivor’s guilt.

Good companies go further. Effective outplacement programmes are increasingly offered by companies downsizing, so that those leaving are helped to develop alternative career plans, suitable CVs and the skills to do interviews properly. These are the set of procedures that minimise the negative impact of having to let people go. They also characterise companies that genuinely care about their employees and – in bad times – still invest in their future.

And as a final point, in your communication with employees, don’t talk about “downsizing”, “business re-engineering” or any of the other euphemisms – people are losing their jobs. Don’t insult them with evasive language everyone can see through.

Eoghan McDermott is Director of Careers, The Communication Clinic . www.communicationsclinic.ie