Announce a Layoff • Letter Examples and Guide

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Example Letter #1

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As anticipated, the recent merger with Doe Associates has resulted in overlap of some functions. Consequently, it is necessary to reduce our work force in those areas in which we have significant duplication of effort.

Effective June 1, the publications and personnel divisions will decrease by 40%. Those affected will be notified by May 15. Our personnel office will hold a series of meetings at the end of May to discuss unemployment insurance benefits and to help those affected secure new jobs.

We sincerely appreciate your contributions and regret that this action has become necessary.

Example Letter #2

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We are sorry to inform you that Doe will be reducing staff by 20% over the next month due to decreased demand for our product. We will notify the affected employees with their next paychecks. Laid-off employees will receive one month's severance pay.

On Friday, November 29, at 2:30 p.m., a meeting for affected employees will be held in the large conference room on the second floor. We will discuss severance benefits, including health insurance, retirement plan distributions, and unemployment benefits. We urge all interested to attend.

We truly appreciate your years of service to Doe Corporation. Unfortunately, this layoff was unavoidable. We wish you success in your future endeavors.

Example Letter #3

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Doe Auto Performance is feeling the crunch of these economic times. Most consumers lack the disposable income we count on for our bread and butter.

Effective at the end of this pay period we will experience a 50% reduction in staff, right across seniority lines.

Jane Doe can help you with such matters as the continuation of your health plans and details of the severance package. We very much regret that we must take this step. With any luck we will be recalling some or all of you within the next few months. Until then, we wish you well in your endeavors.

Example Letter #4

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It has become necessary for us to announce a temporary layoff of all of our production staff. Demand for our product has slowed, as it usually does at this time of year. Beginning November 25, the plant will be closed until January 2. Health insurance and other employee benefits will continue during the layoff. We expect to resume our normal production schedule in January. We appreciate the hard work and dedication of all our employees and anticipate working together again in the new year.

Letter-Writing Tips

When this letter becomes a necessity, write it in a direct yet sensitive way. The information must be clear and complete, so you are not bombarded with questions after the announcement.

Step-by-Step Guide

2 Explain who the layoffs will affect and when.

Example Sentences

Example Phrases

3 Explain such things as the portability of health insurance, unemployment benefits, union policies, help in finding other employment, and whether there may be a recall to work.

Example Sentences

Example Phrases