Earlier this month, U.S. News released this article listing 10 cuts employers are expected to make in 2009:
- Hiring freezes
- Higher health costs
- Travel restrictions
- Training cuts
- Canceled parties
- Salary freezes
- Reduced merit increases
- Pension freezes
- Cut 401(k) matches
Yes, seeing this list is disappointing, given what we know about the negative impact of hiring freezes and layoffs. But as we see more and more companies take such measures in the face of economic challenges, believing they’ve exhausted every other alternative, it’s hardly surprising to see that more companies are expected follow suit.
I won’t pretend to understand how employers make these types of decisions, but I can say this with absolute certainty: You still need to invest in your employees. Because if anything’s going to help your business survive this recession, it’s your employees.
Even if that investment is as simple as helping them manage their finances to taking the time to openly discuss with them your current challenges – and looking at opportunities that lie ahead, you might be surprised how far simply showing your employees that you’re concerned about their needs can go toward improving morale.Related
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