Is a Dignified Layoff Possible?

I was reflecting on the tough job market and feeling bad for all the folks experiencing a layoff - not to mention worrying what may be in my own future given industry trends.

Having gone through a few myself and also having had to lay people off made me wonder yet again how best to minimize the pain.

I remember laying off a senior developer when I was in my early 30's and a new manager. I was up the entire night before worrying and threw up on my way to the office. He was a pro though and not his first rodeo and his quiet dignity always stuck with me. He immediately moved on to the concrete details of severance, insurance, reference, etc.

Maybe that's the best we can do?