What is a potential morale impact of offering a voluntary RIF?

• A. It has no effect on morale
• B. It worsens morale due to uncertainty
• C. It can improve morale by reducing fear of forced layoffs
• D. It guarantees promotions

Answer: (C)

Offering a voluntary RIF gives employees a sense of control during downsizing. When people have the option to leave on their own terms—often with severance and sometimes outplacement support—it can reduce the fear of being involuntarily laid off. That reduced fear and the perception of autonomy can boost morale, even as some roles are being eliminated. This is why the potential morale impact is supportive rather than negative. The idea that it guarantees promotions or has no effect isn’t accurate, and uncertainty isn’t the primary issue here—the voluntary option helps address the fear of forced layoffs.