Wednesday, January 28, 2009

Following Mistakes which should be avoided while retrenching the employee

In this bad time of economic recession when as a HR person we have to remove employees under pressure as a measure of cost cutting. We commit following mistakes which should be avoided:-

· Underestimating the significance of retrenchment on the employee psyche. Treat them as humanly as you can.

· Retrenching wrong employees. Make sure that right people are picked up for retrenchment and there should be no sign of favouritism. Your decision in this respect should be apparently rationale.

· Treating retrenchment as a mechanical task instead of human process . When people are retrenched from the organisation their impact is felt for a long time. Take it as difficult human process and not as mechanical event.

· Forgetting to rebuild trust after retrenchment. Never initiate reducing head count process without a long term plan for rebuilding trust among employees and reenergizing the organisation. You should be effective enough to reengage remaining people in critical activities as early as possible.

· Ignoring the remaining employees. It is equally important to address the needs of remaining employees who are not retrenched because in this process they also equally experience every emotion of mistrust and anger. Talk to them, understand their concerns and allow them time to resettle.

· Failing to equip HODs with adequate information. Normally HODs are kept away from this decision making process. Always provide them all information and clarification before hand. Help them understand and communicate the reasons. Why the tough decisions were made.

· Failing to monitor and eliminate rumours. Never keep aside as rubbish what employees say and react . To find out what is on their mind, ask them every moment your get to interact. Adjust your communication plan to match their frequency.

· Failing to become a role model. It is for leaders to prove their nerve in bad times. Do not pass the buck. Lead by example. What you expect from your subordinate to behave, first apply on yourself. Take some visible action that communicate empathy with your employees.

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