The growing trend of “quiet firing” is a subtle but damaging strategy being employed by some employers to nudge unwanted employees out of the workplace. Unlike traditional termination, quiet firing relies on passive-aggressive tactics such as reducing responsibilities, cutting pay, or consistently criticizing an employee’s work without clear communication. While it may seem like an easier way to part ways with an employee, the adverse effects of this practice can be felt across the organization.
Cheryl L. Mason, J.D., an expert in relational leadership and management, explains, “Quiet firing hurts organizations by adversely impacting outcomes, deflating employee morale, damaging reputations, and costing money… just to name a few of the counterproductive effects.” Here are four key reasons why quiet firing can hurt your business:
1. Adversely Impacting Outcomes
When valuable employees are pushed out through quiet firing, organizations lose not only their talent but also the skills, knowledge, and experience that contribute to success. This disruption can lead to a decline in productivity and increased pressure on remaining employees, which ultimately harms the company’s ability to meet goals and deadlines.
2. Deflating Employee Morale
Quiet firing creates an atmosphere of fear and disengagement. Employees witnessing their colleagues being subtly pushed out may feel unsupported or undervalued, leading to higher stress levels, reduced job satisfaction, and an increase in turnover. This toxic work environment can be detrimental to overall employee morale and long-term organizational health.
3. Hindering Reputation
Companies that engage in quiet firing risk damaging their reputation in the industry. Word spreads quickly, and mistreated employees are likely to share their experiences, which can result in negative reviews on sites like Glassdoor. A damaged reputation makes it harder to attract top talent and can hurt relationships with clients and business partners.
4. Increased Expenses
The costs of hiring and training new employees can quickly add up. Quiet firing may force organizations to invest in recruiting replacements, losing institutional knowledge in the process. Additionally, the inefficiencies caused by unfilled roles or disrupted workflows can lead to costly mistakes and reduced profitability.
Mason advocates for a more empathetic, human-centered approach to leadership. “Instead of quiet firing, leaders should focus on understanding employee needs, building relationships, and creating a supportive environment,” she says. Fostering a positive culture with open communication can enhance morale, reduce turnover, and improve overall business performance.