Objectives In this paper, we will define a no-layoff policy as a commitment to protect or guarantee jobs for employees even when

the economy, profit margins and business operations are not performing well. Such a policy is said to be a genuine expression of an organizations regard for its people. We will establish that it is best for a company to have a no-layoff policy if for no other reason but to increase employee morale. Also, companies who view their employees as an important, long term, strategic investment have implemented human resource policies to protect that investment. So at the end of this paper, people will know the human relation benefits of a no-layoff policy.