Layden then tried sneaking him onto the court with four other Jazz players and got the fan on the court before the referees realized what was going on and stopped play. Layden pulled the kid aside and jokingly asked him if he was interested in helping out the Jazz, who were down by 25 points at the time. Once in a road game against the Denver Nuggets, there was a halftime contest where a young fan won a halftime shooting contest. He was once fined $1,000 during a game in 1986 for making a satirical wave goodbye and exit after getting ejected. Even after he lost weight he still made himself the butt of jokes, especially about weight and food. Often he mocked his own weight and looks and was known for giving one-liners to the media before and after games such as "I don't jog because I want to be sick when I die" and "I once got on a scale to have my fortune read and it said 'come back again alone.'" Layden was once over 300 pounds but slimmed down in summer 1986, losing over 85 pounds for health reasons. Layden during his coaching days was known for his lighthearted approach to the game as well as to himself. He continues to live with his wife, Barbara, in Salt Lake City. Layden once served briefly as a consultant for the New York Knicks, where his son Scott Layden served as general manager for a time. During this time, Layden participated with Marv Albert in a video published by Sports Illustrated called Dazzling Dunks and Basketball Bloopers, as well as a sequel to that a year later. Layden retired from coaching the Jazz in 1989 to serve full-time as the franchise team president and general manager, hiring former NBA player and then Jazz assistant Jerry Sloan as the new head coach.
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Layden was inducted into the Suffolk Sports Hall of Fame on Long Island in the Basketball and Professional Sports Categories with the Class of 1990. Layden was the head coach of the Utah Starzz Women's National Basketball Association team from 1998 through 1999 before quitting so he could "enjoy life." Layden would a few months later quit as team president of the Jazz for the very same reasons. Layden joined the Utah Eagles of the Continental Basketball Association in October 2006 as an honorary assistant coach. (He and Joe O'Toole are the only non-players in NBA history to win the award.) That same season, he also won the NBA's Executive of the Year and the NBA's J. In 1984, Layden was awarded the NBA's Coach of the Year. It's time to have my time." In his final game, Layden was ejected by referee Earl Strom after getting into a shouting match with Washington Bullets guard Darrell Walker.
"Sometimes in the NBA, you feel like a dog. I think America takes all sports too seriously" Layden said after resigning. "I had a guy come up to me and say 'hit me, hit me', I'm a lawyer'. moving into the team's front office and was replaced as coach by his assistant, Jerry Sloan. He retired from coaching during the 1988–1989 NBA season, with the team at an 11–6 record and leading the Midwest Division, citing "pressure" and a general burnout from coaching. He was instrumental in drafting and signing franchise mainstays John Stockton and Karl Malone to the club. He coached the Jazz for the next seven and a half years. In 1979 he was hired to be the general manager of the then New Orleans Jazz, and became the head coach of the Jazz (now in Salt Lake City) in 1981, replacing Tom Nissalke. In 1976 he was hired to be an assistant coach with the NBA's Atlanta Hawks joining former Niagara teammate Hubie Brown. Layden coached Niagara to its first NCAA tournament appearance in 1970, with the help of Calvin Murphy.
In addition to his coaching at the professional level, Layden coached at Adelphi Suffolk College and is also a former head coach and player of his alma mater Niagara University's basketball team.
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