The layoffs

I spoke with a friend a couple of weeks ago who’s a manager at his company. Leadership told him to compile a list of names for layoffs—around 25% of his team.

“I have to find the people most crucial to our team first. The people we can’t live without”. He told me.

It’s a brutal situation for everyone involved. And while companies vary a lot in how they determine layoff criteria it always boils down to some form of “we can survive without these people” and “we can’t survive without these people”.

As you hear constant echoes around your industry, or as you weather layoffs at your own company, take a minute to return to first principles.

Paying people for inputs is expensive. Logging time. Lots of effort. Doesn’t move the objectives.

Paying people for outputs is ambiguous. Lots of story points delivered. Plenty of lines of code. But does it matter?

Paying people for outcomes is rational. It’s the only thing that justifies that salary.

It’s possible your inputs contribute to outcomes.

It’s possible your outputs further the desired outcomes.

But if you’d rather not leave leadership wondering about what outcome you contributed, then don’t leave it in the realm of “it’s possible”.

I’m glad you are here,

Sawyer

from ​The Data Shop