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Yeah, I'd announce to everyone that you lost the huge client and the entire company is CODE RED. Even say there could have to be layoffs if a replacement isn't found ASAP. See who HUSTLES FOR YOU and who goes to the copy machine to print their resumes.
Then, wait a few days and fire whoever you have to fire.
Be direct, tell them if things change you'll hire them back... and do it in person. Sucks, but a text is lame and will cause more problems than it solves.
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