Explained – How Layoffs Affect Employees in Startup Ecosystem
Vishwapriya1, Farhat Mohsin2

1Vishwapriya, Research Scholar, Department of Management, Manav Rachna International Institute of Research and Studies, Faridabad (Haryana), India.

2Dr. Farhat Mohsin, Associate Professor, Department of Management, FMS, Manav Rachna International Institute of Research and Studies, Faridabad (Haryana), India.

Manuscript received on 08 April 2024 | Revised Manuscript received on 12 April 2024 | Manuscript Accepted on 15 April 2024 | Manuscript published on 30 April 2024 | PP: 23-29 | Volume-10 Issue-8, April 2024 | Retrieval Number: 100.1/ijmh.I170710090524 | DOI: 10.35940/ijmh.I1707.10080424

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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)

Abstract: Experiencing a layoff can be a challenging and overwhelming time of loss and adjustment. While some individuals may view it as an opportunity for a fresh start or a welcome relief from a demanding work environment, for others, the loss of their career can be deeply distressing. Coping mechanisms for stress and change vary among individuals, but the following paper outlines common emotional, psychological, and physical reactions. In the past, layoffs were primarily seen as a last-resort measure during times of economic recession or crisis. However, they have become more commonplace in today’s business landscape, particularly in the commercial sector. Many companies have recently announced layoffs, citing the need to increase profitability as the economy recovers and job prospects improve. Unfortunately, these layoffs often do not result in the intended profitability. The dynamics are quite different within the startup ecosystem. This research paper will delve into the journey of layoffs in startups and explore their impact on employees. Layoffs can be highly stressful for both startups and their employees. The paper will examine the aftermath of layoffs on employees and provide recommendations to help them navigate this challenging situation.

Keywords: Startup, Layoff, Organization, Workforce Management, Globalization, Stress, Business
Scope of the Article: Business and Marketing