Quiet firing or quiet hiring?

In 2023, some 5487+ companies announced mass layoffs, and 2024 shows no signs of reversal with 1582+ companies having done the same since the start of 2024, according to Intellizence.com. Major tech employers including Amazon, Bumble, Expedia, Google, META and Sony have all reduced their employee headcount in recent months, with online tracker Layoffs.fyi reporting that there have been more than 49,000 layoffs in the technology sector so far in 2024.

As reported by Business Insider recently, some companies are finding more discreet ways to trim their workforce resorting to tactics such as ordering hybrid employees to return to the office (RTO), introducing more stringent performance reviews and suggesting that promotions might be blocked if employees do not comply with RTO mandates.

Ben Hardy, Clinical Professor of Organisational Behaviour at London Business School (LBS), spoke to Business Insider about the phenomenon of “quiet firing”. He suggests that the subtle move of encouraging workers to quit by reducing the appeal of the workplace is nothing new and that companies have long employed such tactics.

While the balance of power has swung back towards employers since the coronavirus pandemic heralded the Great Resignation, all is not lost for employees. Lynda Gratton, Professor of Management Practice in Organisational Behaviour at LBS, recently spoke to the Financial Times about “quiet hiring”, noting that in a tight labour market, employers are looking to improve the skills of their existing workforce.

Professor Gratton reveals that many companies are placing an emphasis on skills over jobs. “Don’t get hung up about job titles: ask, what are the skills that are going to give you opportunities to grow?” is her advice.