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What Good Could Come from a Layoff?

As the country slips through the current downturn, thoughts turn to the worst. "What if I get laid off?"

That happened so much in the early 1990s that many architects left the profession altogether. (The joke at the time was "How do you call an architect in New York City? Yell: 'Taxi!'") And, even today, the effect of that several-year void of professional advancement is being felt in the form of a shortage of (by now) senior project directors.

In a recent Web seminar, a question came up as to whether a panelist could remember any happy endings to the spate of layoffs from that era. On the spur of the moment, he could not. But, subsequent to the seminar, I received this note from someone who did:

"I think the most successful person from my architecture class rebounded after losing his firm in the last big downturn.  He went to work for a trash hauling company and now owns it.  The last design he did was for his $2 million vacation home."

Hopefully, you can think of something a bit more inspirational.

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Comments (2)

Terry L. Walker, AIA:

Beyond the stupidity of having not planned ahead for the inevitable economic downturn is the the associated stupidity of the typical survival strategy once you must layoff employees.

There are two substantial stupidities regarding the profession of Architecture and economic downturns particularly in the larger firms: the way we treat our experienced licensed professionals and the way we treat our interns.

First you need to examine the fundamental truths. Experienced older licensed professionals are the backbone of your company. Laying off the older guys is the common practice these days. It is disgusting. Such practice is damaging to your company because of the massive loss of knowledege skill and ability. These people are in your company and paid bigger salaries because they are the people who solve the problems and make it all work everyday. They are the people training the interns in your company. You know you are not doing it. The older experienced people embody your best hope of recovering. From the ethics & morality perspective laying off the folks that help you achieve success is simply inappropriate.

The idea that you are helping the older people by giving them the opportunity to go and start their own practice is evil self delusion. If you think that way stop. You never paid them enough money that they could succeed at their age and limited resource as an unemployed person in such an expensive endeavor. It takes a huge capital investment to start an architectural practice.

The joke about cab drivers is on point. You are destroying the careers of the best people in your company and that is just stupid.

The second stupidity has to do with the false paradigm regarding youth.

The idea of tossing the older qualified and capable out to fend for themselves while retaining the younger less qualified and less capable because they embody the hope for the future is a bankrupt strategy. This concept serves an embedded marketing illusion; the idea that your clients want "younger looking" companies more than they want quality services.

In reality the quality of the projects creates the companies success and it's future. Everything the company has been and hope to be will be determined by the aggregate quality of your projects. Never exchange substance in hand for an illusion.

The next aspect of stupidity regarding interns is the idea that to transition the company you need to shed the existing alpha's in the company to make room for the future ownership transition. It is better to make partners of the existing proven alpha's in the company than bet on the unproven candidate. Stick to what works and who you know.

In every company there are a few interns that stand out. You want to keep only a few of your brightest young stars and raise the bar in your company. When economic realities force the company to shed staff, keep the best veterans and the best rookies in play.

Finally, begin now to do the necessary planning and preparation for the next economic cycle, make certain your company is ready next time the economy slows down.

rj:

In response to T. Walker's comment: Sadly Terry you sound bitter in your post and I get the bitterness.
I work in Chicago and consult to the City here. As an architect of many years having walked many a mile in this work, I remember well the "Halloween Massacre" as it was called in the early 90's here in Chicago when hundreds of architects were fired from firms in one single day - this during the first Gulf War. The result and the reality is that the firm I was employed by NEVER really recovered from that era. In general it has taken years for the institutional knowledge in the profession to regain it's footing. And even in the face of that history I see this so much now - people wiht 20, 25 + years experience walking out the door with the organization's most valuable asset - the brains and knowledge of so many years in the trenches. A pity that the value older pros bring to the table is not valued in and of itself in the world of architecture and other areas of work. The profession of architecture is not alone in this - it runs the table - I have friends in other walks of life and their song is similar.

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