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by akudha 1277 days ago
Is there a reason why these big layoffs are done just before thanksgiving, Christmas etc?
10 comments

It's near the end of the quarter and holidays tends to be less productive time for employees with many taking extra time off anyway. Even with the very generous severance is still makes sense to announce these layoffs before some of the least productive times.

Also personally, I think I'd rather know about being laid off before going into the new year.

Yeah, it's nicer to know you're on severance going into Christmas so you can tighten the belt than find out you don't have a job coming out with bills coming due.
I'm assuming to get it done before the end of the fiscal year.
January 1st would be calendar year though and not necessarily the fiscal year. The fiscal year can start and end any month the calendar year a company chooses. The fiscal year often does not correspond to the calendar year. See:

https://www.yahoo.com/news/why-different-companies-different...

There's been lots of big layoffs throughout the year. There's always an upcoming holiday
There aren't any major US holidays in the first few months of the year (which is only 2 weeks away)
Well, from the week of thanksgiving to NYE productivity is shit anyway. People are planning vacations, gift buying, visiting relatives/friends.

Doing layoff before that is beneficial for employer to save on labor cost (not paying low productivity time), and employee (allows better planning)

EOY financials, usually.

If you have to do layoffs, the best time is now. The second best time is a couple weeks before financial reporting ends.

And as I was reading these comments, a news item popped up for me...

https://www.wsj.com/articles/why-companies-do-layoffs-around...

Thought that was from Washington Post for a second, they laid people off just yesterday.
As soon as the economy recovers, doing these kinds of layoffs will be terrible for the companies reputation. Right now, it’s more like “who can blame them, everyone is doing it”.
To all the people saying end of year financials, most places I've worked at have had their Q4 not end in December (for revenue smoothing).
End of quarter, I suppose
Employers can save out on paying holiday PTO
Depending on your jurisdiction, most countries or states require companies to treat PTO as cash and pay it out upon leaving the company. One reason why unlimited PTO is so popular, no need to pay anything out at the end.