How People Are Reacting to Fear of Job Loss – What Leaders Should Do

New research from Glassdoor published by HR Grapevine found that over half (53%) of employees are afraid of losing their jobs in the near future due to Covid-19. According to the research, 56% would rather take a lower salary, 68% would rather forgo a pay rise, and 71% would rather skip a bonus compared to losing their job.

Based on Psynet Group research data, the following are things that people do when they fear that their jobs are at risk:

1. They begin passively looking for a job. This means that they regularly check and update their LinkedIn, follow job boards, put “feelers” out to other people for available opportunities, etc.
2. They take less calculated risks at work. They don’t try new things or take on stretch assignments when asked to do so by leadership.
3. They lose time monitoring verbal and nonverbal signals from their bosses and others in their workplace.
4. They interpret every communication through the lens of job security, which adversely impacts communication overall. 

What can leaders do about it?

1. Name the ghost. Address the topic individually and in groups throughout the organization.
2. If you are letting people go, do it all at once and announce when the process is complete.
3. Give clear markers for when and why you would reduce staff, both presently and in the future.