Helping Management Through Times of Transition

Contributed by NAMC (National Association of Mothers’ Centers), Livia Polise, LCSW, NAMC Facilitator

In our current economic climate, management-level executives are not only challenged to make difficult decisions to keep the organization going, they also have to deal with the very difficult task of letting people go and all that comes with it. For women, it can be especially difficult as we often feel a sense of empathy for the employee’s situation and will carry our concerns for their well being around with us for days.

Corporate decision-making is guided by the bottom line: financial cost and gain. A more accurate cost analysis, however, recognizes the psychological and emotional costs and impact of workplace events and policies on the company’s most important resources: its people. While people in leadership positions are charged with the responsibility of developing and implementing policies and organizational changes that will keep the organization afloat, they also grapple with the stress and dilemmas inherent in decision-making within an environment that may be characterized by urgency and fear.

According to the Chinese tradition of the I-Ching, every crisis is characterized by the potential for both danger and opportunity. The current economic crisis offers manifold opportunities to advocate for making lemonade from lemons.

Here are some practical tips that management can employ to help themselves and those who must be let go make the best of a challenging situation – and provide those left behind with greater confidence.

1. Communicate clearly, directly and frequently. Clear communication offers employees a greater sense of agency. Knowing what to expect offers relief from concerns about “what-ifs?” and minimizes the demoralizing impact of rumors. Most people lean toward avoiding discomfort and potential conflict by communicating as little as possible to as few people as possible as late as possible. This creates an environment of fear, lack of trust and anxiety, potentially causing employees to react in self-protection – either isolating themselves by looking out for their own back or engaging in fear-based speculation and perpetuating misinformation with other employees. This then interferes with employees’ capacity to focus, creates a demoralizing environment and has a negative impact on employee commitment to the organization. To make matters worse, customers and vendors will pick up on the negativity when they interact with people inside the organization. You can minimize these risks with a well-thought out communications strategy.
2. Consider alternatives to layoffs. While it may not be possible to avoid layoffs altogether, you may be able to hold on to more of your employees by considering other options. For example, cutting payroll by shortening the work week, offering furloughs or job sharing where everyone participates in cuts by giving a little instead of a few giving up their jobs completely could leave the company in a better position when times improve. You may find you have some employees who welcome the additional time to be with family members.
3. Explore programs available for employees you do have to let go.
   • There is a New York State grant for companies with 50 or more employees allocating $50,000 per company for retraining and hiring of those who have to make a transition to a new job. • Outplacement firms offer services to employees who have been laid off to help them find their next job.

   • You can prepare a referral letter ahead of time to support the employee.

   • Also, business networking organizations may offer services to help people find their next position. For example, on Long Island, New York, the HIA is offering a $100 membership to people who need to network for a new job. Employers can purchase that membership for their employees as an act of good will.

4. Find support for yourself. As a manager or supervisor with the responsibility of implementing your firm’s decisions in a challenging economy, you could benefit from networking and sharing strategies with others in similar positions. Join a networking group for your industry or profession. Learn how others are coping, share insights, commiserate and you’ll find your anxiety and tension diminishing.

You can design a transition program that demonstrates your concern and support for all of your employees and allow those who do need to make a transition to feel a greater sense of confidence and support from you that will help them to move forward.

With a stronger transition plan in place, you will also feel a greater sense of peace and confidence that you have done everything you can for the good of your company and your employees.

Livia Polise, LCSW, facilitates the NAMC’s BEST Program, bringing information, creative problem solving, action steps and resources to employees at the workplace. The BEST Program supports and addresses work/life issues on wide variety of topics including time management, productivity, parenting concerns and eldercare issues.