Managing morale

Author: Michele Lawson

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Michele Lawson

Tammy Bones of Encore Tele Solutions oversees employee Carolyn Munro at the Sophia Street office.

Keeping employees content can boost the corporate bottom line during these tough economic times and speed recovery once the recession ends, say human resources (HR) experts.
With headlines announcing the daily role call of the newly unemployed, the illusion of job stability has been shattered like never before, acknowledges Rod Cotton, president of the Barrie and District Human Resources Professionals Association (HRPA).
“Fifty per cent of those people working in human resources have never seen the likes of this before,” he says. “Even in the ‘80s, it wasn’t as widespread as the environment we’re managing today.”
This job uncertainty has a direct impact on employee morale and productivity, he adds. News of job losses across the country, province and region reinforce this lack of security and have employees wondering if the trend to downsize will reach their own organization. The level of concern rises substantially if the threat has already made its way to their workplace and they’ve survived the first wave of company cuts.
The resulting shock, fear and resentment may have employees disengaging from the business.
“In good times, low morale leads to people looking for alternatives,” Cotton explains. “In times like this, people may leave the organization without leaving the organization – they just check out.”
This shift can be devastating to a company seeking to do more with less in an attempt to weather this economic storm.
“The ‘less’ they have may not be doing as much as they need,” says Cotton, who also runs his own HR consulting company Workforce Synergies.
At the monthly HRPA meetings, Cotton has recognized employee morale as an area of concern and topic of conversation among the group who uses the casual networking portion of the agenda to connect and share best practices.
In fact, since corporate HR experts are also employees themselves, many are dealing with their personal anxieties while simultaneously managing those of their colleagues. Recognizing this compounded pressure, Cotton and the local HRPA are developing their upcoming conference to provide focused support for its membership in times of stress.
Addressing and alleviating worries for all employees as much as possible will not only help during the economic downturn, it can also be instrumental in a speedy recovery, adds Lotte Struwing, who owns the HR consulting and coaching firm Lasting Solutions.
Business owners are often distracted by their own fears and don’t realize how important morale-boosting programs are to their organizations, recognizes Struwing. Not only will it increase productivity for the short term, it will also aid in retaining key personnel for the future.
Many business owners fear facing staff reductions just as much as their employees, she explains.
“It’s real for the owners as well as for the employees,” she says. “They know employees are their lifeblood and will often go without to help employees.
“I think it’s much easier for large companies to let people go when their profits are in decline,” she says. “If they’re small and they cut two bodies, it can represent a significant portion of the workforce. And afterward, it can be hard to replace that talent.”
Even if no actual layoffs occur during the recession, poor employee relations may result in a rash of resignations once the economy improves, she says.
There’s more than one way for employees to disengage, she says, and employers shouldn’t assume diligence on the job will translate to corporate loyalty.
Struwing calls those employees who have risen to recessional challenges “superstars.” They have taken on the responsibility for keeping businesses functioning by accepting exhaustion, overwork and frustration in exchange for continued employment.
“They’re the ones who’ll move on quickly as soon as the recession is over,” warns Struwing.
This result, however, is not inevitable.
“There are three things that are very simple and cost-effective to keep your team engaged through all of this,” she explains. “The reality is: everybody understands the economic climate and knows that’s why the changes are happening. It’s not just because the boss is being a meanie.”
Building on that by establishing open and genuine communication is the place to start, she advises.
“When we’re in that fear zone, it’s difficult to be more vulnerable,” she acknowledges. But “if leaders aren’t willing to open up and be vulnerable about the good, the bad and the ugly, then the people will fill that gap.”
The resulting speculation adds to the uncertainty and can be much more harmful than even a harsh but well-presented reality, she adds.
Consequently, companies can set up regular meetings that start with a company update that outlines as much as possible (recognizing some information to be privileged), Struwing says. It can include new work coming up, the struggles being managed, and a discussion of existing business.
“In some cases, the workers know the projects better than the management, so asking for help can indeed be helpful,” she continues. “Instead of carrying the entire burden, it makes them feel valuable – it’s human nature to want to help.
“When you’re bouncing ideas off each other, they have the feeling of being heard.”
Struwing also suggests including an open forum to provide the opportunity for staffers to voice concerns and ask questions.
“This is especially important in this environment, where there’s a lot of anxiety,” she says.
To allow those who may feel more comfortable with one-on-one discussions, establishing a dedicated open-door period can be helpful, she adds. Setting aside time reserved for the team alone can send a positive message, while limiting the disruption of an unrestricted open-door policy.
“This is a way for business leaders to be honouring time for themselves and for their staff without cheating either one,” says Struwing. “This is all regular stuff – we all know emergencies happen.”
The regularity of these communications is vital to the process and the benefits.
“You have to establish a time and place and honour it,” she adds. “It’s very important. Employees will know that is their time to vent and provides them with some comfort.”
Through its 33-year history, the leadership at NEBS Business Products has developed a proactive process to share with their team of more than 400 employees. In addition to quarterly results meetings where financials and strategic initiatives are shared and questions are answered, more intimate and in-depth sessions are also held regularly.
“Communication needs to be ongoing, frequent and timely to be effective,” says Alison Durtnall, group director of marketing for the Midland facility. “It’s important that there are numerous opportunities for direct feedback and dialogue from the staff.”
The organization, which supports it business clients with printing, marketing and other services, communicates between meetings by posting new information on five cafeteria bulletin boards.
“This communication style ensures the employees have easily accessible information, and the opportunity to ask questions in a comfortable environment,” adds Durtnall. “With the economic uncertainty all around us, it’s important to employee morale that their leadership team can address the tough questions that may be asked.”
Such sessions should always conclude with shared food and camaraderie, Struwing asserts. It’s a great time to celebrate the milestones, new projects or even the opportunity to have the meeting outside in nice weather; and to acknowledge those who have gone above and beyond the call of duty.
“Organizations that are able to celebrate their success, help to create a sense of success: there’s hope here,” agrees Cotton.
“They can be awkward at first,” Struwing admits, but it gets easier with practice.
What can be trickier is putting these organizational changes in place while a company is focused on reacting the negatives of the economy, says Cotton.
“Now, more human resources departments are dealing with layoffs and it becomes more difficult to put these things in place,” he explains. It has to be identified as a priority.
But you don’t have to wait for a special occasion (or a scheduled meeting) to connect with your team, Struwing says.
“When we’re anxious, all those things we usually do on a regular basis – the niceties – go out the window,” she acknowledges. “The anxiety goes in and the good feelings go out, and we may just forget the thank yous.”
Slowing down enough to say thank you, shake a hand or send a quick card is an easy way to send a huge message, she says.
“I work on a practical level,” she says. “I’m thinking time, money, speed.”
She suggests keeping some blank cards in the desk to facilitate a quick response. Taking a few moments to have staff fill out a “My Favourite” sheet can also come in handy later. If employees jot down their favourite, flower, sports team, ice cream, restaurant, etc., “when you want to do something nice, you go to the sheet.”
Struwing recalls an employee who was so touched she cried when handed a red Gerbera Daisy – her favourite flower – in appreciation of her work efforts.
“I personalized the thank you to her,” she says. “It was what, $4?”
Depending on the culture of the company, individual lists can also be posted on the server for everyone to access, she suggests.
“It’s not always about money,” she says. “It’s about the acknowledgement and recognition. The power of it is phenomenal.”
When it comes to compensation on a larger scale, it is important for employers to communicate the full value proposition of employment at that organization.
“When we think of compensation, we think of paycheques – but it’s a broader perspective and you can get more bang for your buck if you talk about total rewards,” suggests Struwing. “It’s about the entire employer/employee relationship, not just one component.”
It could include a benefits package, paid tuition for professional development or, in a place like Simcoe County, the quality of life can be leveraged for current or prospective employees.
“If you work here, you don’t have to commute,” she suggests. “You absolutely have to leverage the family environment available here. It’s very valuable.”
But, in economic times like these, when fewer people are being asked to step up and do more, it can sometimes be about the money as well.
Even when freezing salaries, cutting back or chopping staffing numbers, if there’s any money at all to be had, “it has to be given to the critical workforce,” Struwing stresses.
Providing a lump sum payment will prevent the payment from committing the company to a compounding expense in the future, but will be an important gesture nonetheless – even if it’s only to one person.
“Imagine the reaction if that person is handed a cheque for 1,000 bucks. It may not be a lot of money, but when presented with a note, it provides respect, acknowledgement and integrity.
“It’s the little things that are absolutely key and, even after the dust settles, they’ll likely stay. If their value is being respected, they’ll stay.”
Playing favourites? Absolutely, says Struwing. Traditionally, managers pay more training time, correction time and morale time on lower performing staff members.
“Whereas the stars don’t need time, so they get less attention,” she says. “We need to pay special attention to the stars so they stay, so they are happy, so they are productive and so they continue to help you be successful.
Do companies need to hire a specialist to get these morale-boosting programs in place?
Sometimes a neutral third party can definitely be an asset, Struwing concludes, but there’s no need to wait.