A new trend is making headlines on the American job market: “Quiet Quitting” is now being followed by “Quiet Cutting” – silent firing. In the United States, too, it can be expensive for companies to lay off employees – especially in higher positions. In order to avoid high severance payments, many companies are now cutting numerous jobs without laying off the employees concerned.

Quiet sacking often goes like this: unsuspecting employees receive an e-mail saying that their job is no longer available with immediate effect. However, there is no talk of termination. Those affected then have to take another job within a few hours or choose between several jobs, which usually mean more work for the same or less pay. Frequently, these are jobs in which those affected have little or no experience, which are far below their abilities or simply do not suit them.

Quiet cutting often leads to depression

On the one hand, this does not make people unemployed. On the other hand, they are often offered specific jobs that are hardly suited to them. It is said that this often leads to depression. Quit the affected finally on their own, the bill seems to work for the companies: the companies have saved high severance costs.

The computer group IBM cut Matt Conrad’s job twice in just two years before he was given his current position last fall, the 34-year-old told the Wall Street Journal (WSJ): “You gave me the feeling: ‘We appreciate everything you’ve done here and that’s why we didn’t fire you, so you can make the best of it or find a job elsewhere.’

From Manager to Software Vendor

The first time his manager called him was in 2021 and told him over the phone that his position as manager was going to be eliminated. He was offered a job as a software salesman – a field in which he had no experience. That hit him hard mentally, says Conrad.

Towards the end of the year he finally found a job that better suited his inclinations. But just a few weeks later, that team was also disbanded, and Conrad was given another job. With the help of the HR department, Conrad was able to switch to a position as a digital sales coach after six months. Today he is glad that he never quit – also on principle: “I didn’t want to give up because I was a top performer and just didn’t think it was fair.”

“Quiet Cutting” in the USA at countless companies

His case is far from exceptional: “Restructuring is definitely a huge part of the dynamic right now,” outplacement consultant Andy Challenger told Wirtschaftsblatt. In the US, the practice is not only widespread at IBM, but also at countless other companies, the newspaper reports.

Online forums are currently full of posts from concerned employees. They all fear that their recent restructuring could still lead to layoffs. “The corporate culture has changed since the pandemic,” complains a user on the Reddit platform. “They decided that people don’t count for anything, even if they’re productive.”

“It’s a fucking dirty game”

“A friend of mine just finished quiet firing at a tech company,” said another user. “The call from her manager came out of nowhere. After only five minutes her job was gone, she wasn’t allowed to ask any questions. The crazy thing was that she was the best on her team.”

“In my company too, people are silently resigning at the moment. Already 2000 changes in the last month,” says another user of the portal. “They give people a deadline by when they have to find a job in the company. It’s a fucking dirty game.”

Benevolent management intentions could also be behind the implementation, says Roberta Matuson, consultant and business coach for a number of large US corporations. Restructuring undoubtedly triggered fears among employees, she admitted in the WSJ. In part, however, the companies are simply concerned with not having to lay off anyone. “They just want to signal, ‘Look, this is the only way I can offer you a job here, I have to reassign you, and if I were you I would take the position.”

In her opinion, however, caution is called for if the new job pays less or is significantly below the skills of the employee. Other warning signs: If the new job requires a move to another place of residence, even though the boss knows that this is not a realistic option. Or if the new job takes place in a team that is about to be dissolved. “It could mean the end is near.”