OkCredit: OKCredit CEO Harsh Pokharna shows the right way to handle layoffs

In recent times, mass layoffs have become far too common - but what's more alarming is the increasingly inhuman manner in which they're being executed. From employees finding out through blocked emails to being abruptly removed from Slack, compassion is often missing from these difficult moments. Amidst this backdrop, Harsh Pokharna, CEO of OKCredit, took to social media to share how his company approached a layoff nearly two years ago - a post that is now drawing widespread appreciation for its empathy-led approach. Pokharna shared that 18 months ago, OKCredit had to let go of 70 employees due to high burn. Admitting it was a result of hiring too fast, he called the decision one of the hardest he's had to make as a founder. But, he said, "we tried to do it the right way." What stood out was the humane, transparent, and thoughtful process OKCredit followed. "We spoke to each of the 70 people personally," Pokharna wrote in his LinkedIn post - underlining the culture of empathy the company embraces. Each employee was told clearly what had gone wrong, why the decision had to be made, and - most importantly - how the company would support them. Three-month notice, job support, and follow-through Unlike the abrupt layoffs dominating headlines today, OKCredit provided a three-month notice period to the impacted employees. The company actively helped them with referrals, introductions, and job leads - doing everything they could to ensure a smoother transition. The result? 67 of the 70 laid-off employees were placed in new roles before the notice period ended. For the remaining three, OKCredit extended an additional two months' salary to support them. A call for compassion in leadership Citing data that over 120,000 people have been laid off this year, Pokharna voiced his concern over the lack of empathy in many recent downsizing cases. "Many of them didn't even get a call. Some found out through a blocked email. Some were just removed from Slack in the middle of the day. That's inhuman." For Pokharna, layoffs may be an unfortunate part of business, but how leaders handle them defines the company's culture. "I know it's tough to have these conversations, but this is what you signed up for when you became a founder. If you call someone 'family' while hiring them, treat them like family when letting them go too." In a time when many companies struggle with difficult workforce decisions, OKCredit's approach offers a blueprint for what compassionate, responsible leadership can look like.