Staff say they would like to know the full extent of any bad news and feel that too many managers regard being positive as more important than being realistic. The research also revealed a concern as to motivation, with 62 per cent believing that staff insecurity in a downturn is likely to reduce effectiveness as some employees concentrate on trying to impress rather than delivering results. In the absence of full information, rumours and speculation will lead to distracted and demotivated staff.
Businesses should therefore disclose their position early and in full. Employees need reassurance and information; being frank and forthright demonstrates control and will enhance motivation in the long run. See our guide to informing and consulting your employees.
Employees may be dealing with personal financial difficulties during the current credit crunch which can cause stress in the workplace. Though you have no legal responsibility to tackle such causes of stress among employees, you should remember that they can have a significant impact on their performance. So it's a good idea to adopt a sympathetic and understanding approach. Read our guide to dealing with stress in the workplace.
Further informationBusiness Link's information library gives you instant access to information and tools to help you tackle key business issues. View our full range of guides to motivating your staff.
Access to help and supportIf you would like to talk about employment issues and how we could support your business, call the business adviser team on 0845 00 66 888 or use our contact us form.