A few people I know work for a respected insurance company. With the economy still damaged, the organization held a company-wide conference, which was supposed to document performance and the outlook for the new year. However, the forecast for the future turned into unintentional scare tactics. Words like “possible downsizing” and “cutbacks” led many employees to fear for their jobs. So, instead of sticking around to potentially get fired, they found new forms of employment and quit. Guess what? The insurance company is now short staffed and dealing with an image nightmare.
In times when retaining the best employees is the most important, many companies fall short. Yes, it is important to be honest with your employees, but scaring them into quitting will not only hurt the productivity of your organization, but also it can make your company look terrible. As a result, filling those empty seats can turn into a burden, which may not have been a problem if employers had taken the time to treat their employees like people, not dead weight.
A McKinsey Quarterly article demonstrates that there are three things to remember in order to effectively retain your employees during tough times: find the hidden gems, the mind-sets of employees matter, and retention is about more than money. The common theme in each of the suggestions is clear: Your employees are all individuals and should be treated as such.
So, do you want to be the kind of employer who in bad times preaches the worst while ignoring the good? Or, do you want to be the kind of employer who is honest with its employees in an effective way (which does not involve fear-mongering)? Hint: The latter benefits more than just you and your employees; it benefits your organization as a whole.
