With the national unemployment level at almost 10 percent and the state of Arizona’s following closely behind, employers that are hiring in this market have the luxury of selecting from the cream of the crop.
But that trend is unlikely to continue as the economy improves. Human resources executives say furloughs, salary cuts and policies of doing more with less can leave companies vulnerable to losing their best staff when the economy rebounds.
Analysts say businesses can take action now to help prevent mass turnover and keep morale and productivity moving in the right direction.
“At any time, it’s important for an organization to pay attention to its culture, but it’s even more critical now,” said Donna Dobrovich, an owner and principal of DFD and Associates and a partner in Peak Performance Coaching of Phoenix. She specializes in executive and leadership coaching for individuals, teams and organizations.
Dobrovich said having a positive, productive culture doesn’t have to be expensive.
“One of the most important things in times like this is communication. The more a company can communicate about their business, about their clients and about what is happening in the company, the better employees feel,” she said.
Simply having a manager walk around the office and connect with people can have a huge impact on employees, said Rhonda Bannard, founder of Inspired Connections.
Bannard and Dobrovich both said it’s important for employees to feel their work is making a difference. That is particularly true for younger people, who are more interested in working for companies that do good things and are civic-minded, Bannard said.
With businesses in so many industries struggling to stay afloat in the recession, simple things often have great impact on both morale and expenses.
“Trying to get employees to act in healthy ways can help cut costs, so it could be a basic as setting up bowls of fruit and granola in your break room,” Bannard said.
Other ideas include a dress-down day accompanied by a suggested donation to a charity, participation in an organized walk to benefit a nonprofit or even a weekly walk around the block, HR professionals say.
Getting creative
SCF Arizona, the largest workers’ compensation insurance provider in the state, focuses on finding creative ways to help employees, said SCF spokeswoman Christa Severns.
As part of that effort, SCF opened a wellness clinic at its Phoenix office in December. Through a contract with a third-party licensed medical provider, the clinic offers workers a handy place to get flu shots, have lab work done and receive treatment for medical issues such as asthma, influenza and strep throat.
“This is a win-win for everyone,” Severns said. “Our employees are finding it very convenient, and it’s helping us keep our work force healthy.”
Severns declined to talk about the company’s financial investment in the facility, but she said the on-site clinic lets employees pop downstairs for a half-hour instead of taking a morning off to see a doctor, which cuts down on employee absenteeism.
SCF managers also are doing more at the department level to boost productivity and morale.
Severns said keeping communication levels high and updating workers on company happenings are key elements of that process. Managers also give out quarterly awards for jobs well done, and colleagues at all levels can nominate one another for recognition, she said.
The company newsletter also highlights one SCF employee each month, who receives a plaque and small gift for contributions to the workplace.
These are just some examples of the many things companies can do that don’t cost a great deal, but can show staff how much they are appreciated.
“This has been talked about, and still people don’t do it. But people remember it,” Bannard said. “It’s taking the time to write a handwritten personal note, just because. That is just not done in this technology-driven age.”
Tide will turnFinding ways to keep top talent happy during the recession is much easier than trying to replace them after they leave for greener pastures in a better economy.
Chad Heinrich, market director for KForce Staffing in Phoenix, said there is going to be a lot of turnover when the economy rebounds.
“It’s going to be a domino effect,” he said.
Heinrich said the loss of a single worker can result in a series of promotions or disrupt operations as work is distributed to others while a replacement is sought. It’s a less-than-ideal situation for companies trying to position themselves for success.
“A lot of companies need to prepare for these situations and these scenarios. The hiring process has definitely picked up,” he said.
KForce is working with corporate clients to conduct risk assessments, identifying departments that are most likely to experience turnover.
“The question that employers need to ask themselves is, ‘Do you think you are at risk of losing these overqualified people?’ And they need to prepare themselves for that,” Heinrich said.
Employers face the risk of losing workers, but creating a positive workplace culture — particularly in today’s environment — holds a lot more sway than it did three years ago, he said.
“Many times, it comes down to intangibles,” he said. “And the intangibles today include job security and the way (people) have been treated during this downturn.”
Get Connected
Inspired Connections: www.inspiredconnections.net
Peak Performance Coaching: www.peakcoach.com
SCF Arizona: www.scfaz.com
KForce: www.kforce.com
Morale-Boosting Tips
1. Walk around the office or the department daily.
2. Communicate to people exactly how their work is helping the company achieve the mission, get a deal or improve the bottom line.
3. Offer fresh fruit, granola or some other healthy snacks in the break room on a Monday or a Friday.
4. Host a dress-down day with a suggested contribution benefiting a nonprofit.
5. Hand-write a note to thank or congratulate an employee for a specific accomplishment.
6. Organize an off-site event that helps a nonprofit, school or community.
7. Organize a lunchtime walk around the block.
8. Use or establish a company newsletter to focus on individual workers and their contributions.
9. Establish peer-to-peer nominations to recognize employees.
10. Hold an “accomplishment” meeting, not a “what needs to be done” meeting
