A couple of weeks back, my company went through a layoff — or, to use the official term, a reduction in force. I’m still employed, but it did impact my team and many others, some of whom I had worked closely with. Experiencing a layoff is tough, whether you’re a manager making hard choices or an employee whose job was eliminated. It’s awful for everyone involved.
But before I get too far in this post I need to make something clear – while I was reminded of my (too many) lay-off experiences from recent events, I am not writing specifically about my employer or our recent layoff. Over the years, I’ve unfortunately led layoffs at several companies. I’ve also been on the receiving end of one, having been let go from startups. I’ve seen layoffs from every perspective, in both small and large enterprises. This post is about how to think about layoffs in the life of a startup (or any company) and how everyone impacted — those who stay and those who go — should process the experience.
So let’s talk about “rockets”.
The Promise and Perils of Rapid Ascent
The startup world is often romanticized, often by people who have never been in it. For “hot” companies, the idea is simple. If someone offers you a ride on a rocket ship, you don’t argue about getting a good seat. You just want to jump on board! When things are working great, it feels like a rocket ship soaring into the sky, accelerating toward limitless opportunity. The reality inside, however, is far less stable. Everything shakes, every component is under strain, and those aboard simply hope the structure holds together. That’s assuming the company even gets off the ground or, using our analogy, “clears the tower.”
Most startups never clear the launchpad, while those that do can look unstoppable at first. But maintaining altitude requires more than initial thrust; it demands strategic adjustments and resource management. The booster rockets — early employees, ambitious projects, aggressive spending — are initially essential. Over time the company grows, adding weight that can slow the ascent.
Full Throttle
After liftoff the company burns (cash) at full throttle, with every engine firing. Early-stage companies run on investor capital and raw ambition, striving to gain traction, capture market share, and grow a brand. This “maximum thrust” phase is exhilarating but costly — expenses (fuel burn) often outpace revenue (altitude). The booster rockets were critical to lifted the company off but are now just part of the weight the rocket can’t afford to carry. What once seemed unstoppable is now struggling to maintain momentum. Cost cutting to reduce that extra weight starts with contracts, software, and discretionary spending. But inevitably, the hardest cuts are people.
Hard choices must be made. Just as a rocket sheds its heavy boosters to conserve fuel and push forward, startups must cut costs to survive.
Booster Separation: Letting Go
Companies recalculate their cost “weight” to stay on course. While people are the real rocket boosters — driving innovation, execution, and growth — they’re also every organization’s largest cost. Sometimes, letting go of talented, hardworking individuals becomes the only way to guarantee the rest of the rocket keeps climbing.
For those still on the startup/rocket ship, the transition is unsettling. As in real spaceflight, there’s a jolt when boosters detach then a calm before the next stage violently ignites and pushes the company forward. The whole ship is now different even if the mission’s destination hasn’t changed. The crew absolutely feels the absence of everything and everyone who helped get them this far.
Controlled Descent: Finding Stability
Now, let’s focus on the boosters — those people separated from the rocket ship. Remember old NASA footage of booster rockets tumbling back to Earth, seemingly discarded, left to burn up on re-entry?
That’s the old way of thinking about boosters, and it shouldn’t be how we think about being laid off today. Modern spaceflight has rewritten the narrative and modern careers have different trajectories as well. Today’s space companies pioneered reusable boosters that aren’t discarded. They guide themselves back to Earth, land carefully, get refurbished, and soon find themselves attached to another vital mission. These critical components fly again.
This should be your mindset after a layoff. Don’t immediately latch onto another rocket — tempting as that can be. First, land safely — process what happened. Take stock of your skills, your passions, and where you want to go next. Then, prepare for your next launch.
The Next Mission
Layoffs aren’t (or shouldn’t be) personal. They’re not a judgment of your abilities. Just like that booster separation, they’re a function of physics, in this case, organizational physics. Every company is on its own trajectory, with different fuel constraints, gravitational pulls, and orbital adjustments. Sometimes, you’re the booster. And that’s not a bad thing because boosters fly again.
So, if you’ve just been laid off, know this: your journey isn’t over. Land safely. Take time to refuel. Later, when the time is right, find your next rocket.
Because the sky isn’t the limit; it’s just the beginning.
