To avoid having to make people redundant, you may be considering time reductions to deal with the downturn. But across the board cuts in employees’ hours may not be the best solution for your organisation.
Why reducing hours can backfire
When times are bad, you need more for less. Reducing hours will deliver less for less and will hurt everyone. Your best staff will never forgive you — when good times come, they’ll leave.
If you reduce hours, your employees will focus on hours of work instead of productivity. Your best and worst staff will be paid less, but you’ll get less from all of them. You risk creating a culture based on hours worked, not on how people contribute.
Shared vision
Organisations need to reward excellence and support those who share their vision. But employees are variable: some are exceptional and some are awful. If you want your organisation to bounce back when the economy improves, you need highly motivated and committed employees.
Future proof your organisation
Here are Glide Outplacement’s four tips for future-proofing your organisation:
- Consider what your business needs are now and into the future.
- Pick your best people for both the tough times and good times.
- Make sufficient redundancies to avoid having to cut again.
- Invest in your people, support them and train them to be better.