Welcome to Justanswer.com, my name is Dustin.I'm sorry to hear about the issue you are having, I will do my best to help you resolve it.
Can you clarify a few points. At first you said you had an employee who lost her outlook password.
Then later you said you called Gmail
So was it actually a gmail password ***** you reset? And as an admin, is it a google apps business account that you are admin of?
If that is correct, what version of outlook is the employee running, 2007, 2010, 2013, or 2016 for pc, or 2008, 2011, or 2016 for mac?
And when she says her contacts distribution lists etc, disappeared. Did it disappear from the outlook program, or from gmail.com itself?
Aha.. So its from outlook everything disapeared.. Thats good.
Lets have her check her deleted items folder first as shown on this page, and see if the contacts are there.
If that doesnt work, we may need to either recover her PSt file.. Or reload her contacts from the gmail server.
But, lets try that first step and then we will decide how to proceed from there.