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By Judy Mottl
In an extended recession many organizations find themselves initiating layoffs more than once, and that typically means losing talented staff that a company wouldn't consider letting go under any other circumstances.
But what if, a few months down the road, a CIO is in the enviable position to hire again. Is it wise to rehire talent that was pinked slipped?
While the benefits are obvious, as ex-employees don't usually face any organizational, cultural or job-related learning curves, there are challenges that could come into play.
One is an employee's simmering anger and resentment at having been let go, especially if their tenure had been sterling.
"In all but the most carefully executed layoffs, there's legitimately bound to be some bad blood between the employer and former employee," says Patrick Gray, president of Prevoyance Group, a business strategy group.
While a former employee may willingly come back and work harder than ever for years to come, they might also come in seeking revenge, he notes.
"That revenge could range from the relatively benign time spent surfing the job sites looking for something better, to actively attempting to sabotage the company," Gray warns.
IT executive recruiter Shawn Banerji, of Russell Reynolds Associates, says rehiring is a tricky proposition CIOs should consider carefully.
"My personal take is that it's difficult to bring back someone into an environment where they have been 'rejected'. This is perhaps easier at lower levels of an organization where skills are perhaps more commoditized but in leadership roles, the dynamic would likely be awkward at best, counterproductive at worst," says Banerji.
Yet other experts have a different view, and believe the positives of rehiring laid off tech workers outweigh potential negative aspects.
Anne Berkowitch, CEO of SelectMinds, a corporate social networking company, believes the decision for CIOs is an unquestionably "yes" for several reasons.
"Rehiring has shown to cost half as much as non-alumni hires, and rehires stay with an organization twice as along," Berkowitch says. In fact the CEO recommends that CIOs lay a groundwork for rehiring by developing a networking effort right after a layoff action occurs.
She suggests developing an alumni network that lets IT leaders and CIOs remain touch with former tech leaders and staff.. This helps keep a CIO updated on an employee's work situation, any new skills they're gaining and opens a door to inviting ex-employees to return when an opportunity arises.
"An alumni network increases the chances that high-performing former employees may return to the company at a later date," she explains, adding that rehiring saves a company money in both training and recruitment processes.
"IT managers will also spend less time bringing a former employee up to speed, so the time in productivity greatly increases," she adds.
Berkowitch goes as far as advising CIOs to view former employees as " brand ambassadors for life" as continued interaction can bring benefits further down the line as well.
"They can refer potential new employees or better yet, bring in new business to your company. That's why a social alumni network that keeps former employees connected can achieve measurable return-on-investment," she says.
But as one CIOZone.com member notes in an ongoing discussion, there could come a point of 'no return' in rehiring and when that open door has to be shut.
"I think it's something that depends on both the person and the company," writes caragarretson, explaining that rehiring former employees not familiar with a revamped organization could prove a big challenge.
"If a significant amount of time has gone by, and skills have lapsed or if the company has reorganized and is doing business differently, it might be more productive to hire someone brand new, instead of someone who might be comparing with the way things used to be done."
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