By focusing on the necessary stages and features of a staff-change policy, this manual assists local school boards and administrators in planning for reductions in staff and layoffs. It first reviews statutory authority held by boards and administrators in reducing the number of school employees and defines key terms used in the discussion of personnel policy guidelines. Major considerations in developing a reduction-in-force or layoff policy are then specified for several contingencies: when districts have no such policies in collective bargaining agreements; when they must revise their agreements; when a policy is being initiated; and when a policy is made to cover employees not in a bargaining unit. After noting general features necessary to any reduction-in-force or layoff policy, the specific details of a plan are grouped to determine the need in the district, decide on positions to be eliminated, organize the force reduction, and recall employees. Readers are advised throughout, however, that this manual is no substitute for legal advice. (JW)