How Long Can You Deal With The Stress of Layoffs Before Cracking
The System Is Unsustainable
How Long Can You Deal With the Stress of Layoffs Before Cracking?
I don’t know how to say this without bluntness, but working in Corporate America is brutal. The constant hire-and-fire cycle is not only demoralizing but unsustainable. I say this with confidence because I’ve spent my entire professional life in Corporate America, and I’ve seen it all.
I’ve witnessed absurd mergers, entire divisions being laid off, and good workers being thrown to the wolves simply for questioning narcissistic leaders. Sadly, I’m watching this happen again through the eyes of my friend Frank, an AI software developer (name changed for privacy). He’s at his breaking point, after enduring 10 quarters of rolling layoffs.
The stress of constant layoffs is destroying Frank, and there’s nothing I can do to help him.
We Are All Frank
I met Frank about 10 years ago when I joined the AI startup world. We both started at the same company, excited to work in this emerging field. Our paths to the AI world were different — he was fresh out of college with a degree in computer science and a passion for software development. I was a Civil Engineer changing careers.
We built a solid working friendship during the four years I was there before I moved on. Frank left a year later and landed what he considered his “dream job” at another AI startup. He was passionate and thrilled to be doing something he loved.
Having had my share of so-called “dream jobs,” I wanted to warn him that there’s no such thing in Corporate America, but he was happy, and I didn’t want to rain on his parade.
Now, five years later, his perspective has completely changed. Frank feels exhausted, exploited, and trapped under the thumb of a narcissistic CEO. His company is floundering, and for the past 10 quarters, it’s been bleeding employees.
The constant fear of being laid off has taken a severe toll on him. He looks 10 years older, struggles with sleep, binge eats and drinks, and feels utterly demoralized.
He’s stuck juggling work in a toxic environment while desperately searching for another job, but no one is hiring right now. The tech market is softening, and AI startups are struggling to survive.
Why? Because Venture Capital (VC) money has dried up thanks to rising interest rates. The days of cheap money are over, and startups that aren’t profitable are feeling the wrath of their investors.
I don’t know about you, but there are a lot of Franks and Francines out there right now, wondering when the axe will fall. It’s not a good situation.
A Failure of Leadership
There’s a perfect storm brewing in the economy, and it could wipe out our entire system. At best, we might see a “soft” recession after the next election as top talent continues to be laid off. Wall Street’s relentless quarterly drive to grow profits for shareholders is now affecting the livelihoods of workers across entire organizations.
Why? Because layoffs are ultimately a failure of leadership.
A few months ago, I posted “Workers Getting Laid Off Are Fighting Back,” which featured Brittany Pietsch, an Account Executive (AE) for Cloudflare, who got laid off. Watching her story is tough, but it’s a must-see for every young person entering the workforce.
According to Brittany, she was only with Cloudflare for a few months and was hitting her performance metrics when she was cut.
What went wrong at Cloudflare? I haven’t the faintest idea, but if you hire people and fire them within the first year, that’s a failure of upper management. They’re the ones steering the ship and crafting the strategies to build market share and profits, right?
Rather than take responsibility for their mistakes, they pass the blame down to the workers, offering up their heads to the board.
The takeaway is this: Corporate America doesn’t care about you. They’ll exploit you, pay you the bare minimum, toss you aside when you’re no longer useful, and cut you loose when they mess up.
The Narcissistic Startup Leader
I’m appalled by what Frank tells me about his company’s all-hands meetings and interactions with their CEO. They’re forced to coddle her, showering her with praise. In my opinion, she’s a raging narcissist.
Granted, the term narcissist is thrown around a lot these days, and I’m no psychologist, but if I were to compare her to a narcissist checklist, she’d tick most of the boxes.
With all the slow-bleeding layoffs happening, the facade of Frank’s company is crumbling. His once “dream job” has turned into a nightmare of epic proportions, with the CEO desperately clinging to control.
Ironically, as the company shrinks, the remaining employees remind me of the Jonestown tragedy. As the company hurtles toward oblivion — thanks to poor leadership decisions — only those who praise the CEO loudest will remain.
In the end, it’ll be like watching the final act of a tragedy: everyone drinks the Kool-Aid, and the lights go out as the company ceases to exist.
Hanging on by a Thread
As Frank hangs on by a thread, he’s applying to job after job, yet no one is hiring. With three kids and being the main breadwinner, the stress is unbearable. His wife’s income can’t cover all the family’s expenses, and Frank also carries their health insurance.
His story isn’t unique — it’s the reality for thousands, perhaps millions, of workers across the U.S. today, dealing with toxic work environments simply to keep food on the table and healthcare coverage intact.
In times like these, it’s no wonder workers are fighting back. Unions are resurging as employees demand accountability from leadership. Imagine if Frank had been in a union at his startup — his CEO wouldn’t have been able to fire him on a whim after her own mistakes. Yes, hiring union labor may slow things down, but it would bring some much-needed stability to a world teetering on the edge.
The question remains: How long can anyone deal with the stress of layoffs before cracking? For many like Frank, the constant uncertainty is more than just a temporary stressor; it’s a chronic, debilitating pressure that impacts every aspect of life — physically, mentally, and emotionally.
The fear of losing your livelihood becomes all-consuming, and with each round of layoffs, you start to question your own value, even when the problem lies with leadership. For some, the strain is too much to bear, leading to burnout, health issues, and a loss of hope. In a system built on instability and worker exploitation, it’s not a matter of if you’ll crack, but when.
It’s time to rethink the system, or we’ll see more Franks and Francines crumble under its weight.