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The recession is not a reason to treat people badly

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29th Sep 2009
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Many firms are using the economic crisis as an excuse to stop incentivising staff, but this is a fatal mistake, says Paul Bridle.

It seems that many managers see the recession as a reason not to motivate and encourage staff. A recent survey by campaign group Keep Britain Working questioned 1,600 UK employees, and 52% said their boss has become worse at motivating staff since the recession started.

I can only imagine that these managers have succumbed to the pressures and were so busy trying to make cuts, reduce costs or simply work out how to survive this period that they forgot about their best assets – their staff. How interesting that at a time of economic uncertainty, many managers thought it was not worth paying attention to their most valuable commodity. Perhaps some companies were of the mindset that the labour pool is getting bigger and retention is not as important now.

Whatever the reason, it’s a serious damnation of the state of British business if this survey is a reflection of management and leadership in the UK. At a time when the country needs to be considering its competitive advantage in the global community, it’s quite frightening to think that so many managers are looking only to the short-term. Increasing international competition, combined with already strained economic conditions, mean that now more than ever British businesses need to engage their people to perform at a higher level – not the opposite.

Managers should be viewing the recession as a great opportunity to engage with their people. Everyone now realises how fragile the economy is and how lucky they are to have a job. Staff are probably more open to learning and developing themselves now than they have been at any other time.

Firms should be using this as a time to refurbish and invest in their organisation and reinforce their market position. It’s also a good time to make changes and get rid of projects and activities that are a distraction to the principle aims of the business.

It is absolutely pointless to move out of the current recession with de-motivated staff, and managers who have no idea how to galvanise people to take advantage of the upturn.

Those who are still on the fence should consider the fable of the farmer who fed his cows a little less each day. Just as he managed to get them to the point where they no longer needed food, they all died on him! Wouldn’t it be a crime if organisations survive the economic downturn, only to go into administration because the business is crippled by poor quality work, bad service or simply because they’re old fashioned?

Paul Bridle is a leadership methodologist, speaker and managing director of Bridle International.
 

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By dmoore0021
01st Oct 2009 10:09

The recession is no reason to treat people badly

I can't agree with this article more - employees tend to have a good memory especially when they feel that they have been treated badly by their employer.  Bearing in mind that according to a report by the CIPD the average cost of replacing an employee is £5,800 employers should be working hard to ensure that they are looking after their most valuable asset.

David Moore
www.5minuteangels.com

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