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How to Handle Layoffs from a PR and Crisis Management Perspective
Companies announced nearly 90,000 layoffs in March, a significant increase from the prior month and a considerable acceleration from last year, outplacement firm Challenger, Gray & Christmas reported recently.
The tech industry, in particular, has been brutally hit, with over 100,000 cuts in 2023, according to the report, and it looks like it will beat 2001, the worst year ever amid the dot-com bust. We are seeing layoffs in the business, tech and within law firms.
No industry is immune from layoffs in a global (and shrinking) economy, and law firms must prepare for this highly delicate situation to hit home. A layoff is a loss of talent, leaving the unintended consequences of mistrust and fear among a company's remaining workers. Handling layoffs from a PR and crisis management perspective requires sensitive, transparent and clear communication.
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The Article 8 Opt In
The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.