Tech CEO faces backlash for claiming layoffs are important to keep team ‘happy and strong’

A layoff or firing an employee is never a pleasant experience. But Andreas Roettl, CEO of Journi, a technology company that uses artificial intelligence for photo printing, has a different opinion. In a lengthy post on LinkedIn, Roettl said that managers should be as competent at firing employees as they are at hiring employees. He also claimed that laying off employees was crucial to maintaining a “happy and strong” team and that companies should formally train their managers to develop this skill.

“I’m really good at firing people… no one says. But we should! Because firing is just as important as hiring. Yet it is a topic that most people avoid. We don’t want to be fired, we don’t want to fire others. The thing is: laying off people is just as necessary and deserves the same attention as hiring employees. Shooting keeps your team happy and strong. “A layoff will save your team spirit and culture,” Roettl wrote.

The Journi CEO further explained that his company focuses on training the leads to be good at letting people go and suggested that others should do the same. He emphasized the importance of Journi’s unique approach to lead training. This includes how to let people go and equip leads with the necessary tools to assess a situation, such as regular feedback and appraisal meetings, an early warning system, performance improvement plans and personal development opportunities for team members, finding and developing strengths, etc., to evaluate employee performance.

However, he added that a company should give an employee a chance to improve before firing them. He suggested: “Just like in football, there needs to be a clear first warning: the yellow card, so to speak.” A conversation in which you clearly tell the person what is not working and what you expect. You then go through a performance improvement plan you created for them. Enable them to improve and support them.”

To support his approach, Andreas Röttl also shared some statistics. He wrote: “We are 80 people at Journi. In the last 12 months we had a turnover rate of 5 percent. In the last 12 months we have had to lay off two team members. I can’t remember this being much different in the last three years.”

The post, which has now gone viral, sparked an online debate and prompted a flood of reactions in the comments section. The majority of LinkedIn users criticized Andreas’ actions, while some supported him.

“You are resigning from your position as CEO. Charity begins at home; right?” said one comment.

One user wrote: “I don’t think this completely tone-deaf post is anywhere near as flexible as you think it is, dude.”

“Interesting reading! Good managers need to learn/know how to handle pips effectively. “Layoffs are taboo and generally viewed as a lack of performance, which may not be the case with mass layoffs,” said another.

One person shared: “Well said, Andreas Röttl. One aspect that always amazes me: When you let go of someone who you thought was well-liked by your colleagues, you might have this question mark in your head about how the decision will be received by the rest of the team… And as soon as once it’s done, people will just say, “Oh yeah, that doesn’t surprise me, good decision.”

Responding to the backlash he experienced after the post, Andreas Röttl wrote: “I’m sorry if I hurt anyone with this post, but rest assured that the main message is that we praise and protect you all have to do a great job.” at journi. And although the topic is of course unpleasant, sometimes it is also important to say goodbye to those who do not live our culture and do not do good work.”