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How To Deliver Bad News To Staff

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May 2, 2011

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Sooner or later you’re going to have to deliver bad news to your staff. We all know this, most of us hate it—and most of us have botched it at one time or another. Consider some gaffes I learned about while researching this story:

  • A department head, faced with budget reductions, lays off three staff. She gathers the rest of the team together and tells them, “That’s it. No more layoffs.” Three months later, she lets go of more staff. No explanation and no mention of her earlier promise.
  • A medium-sized health firm gathers staff and tells them that the employer contribution to the 401K is dropping from 10 percent to 7 percent, noting that, “It’s only a 3 percent drop.” A smart staffer quickly rebuts, “Technically, that’s a 30 percent decrease.”
  • Staff gather for a department-wide meeting, where the company’s vice president unveils a new organizational chart. It’s clear that one entire unit is gone—and the employees from that unit are part of the meeting. The VP refuses questions, and then ducks out early for a week in Belize to celebrate his recent promotion.

Such mistakes are dangerous. They damage the company and management’s reputation. They slow productivity, weaken loyalty and morale, cause top staff to job-shop, and make it tougher to attract new talent. They draw negative media attention. They keep the rumor mill churning. And the bad rap persists long past the actual incident.

In all of the cases above, the decisions behind the bad news were rational. But the leaders delivering the news lacked the empathy, courage or training to do so in ways that respected the audience and preserved the company’s good name.

Delivering bad news to staff will always be tough, but it’s a skill that can be learned. Here are some tips:

  • Do your homework. Consider your audience. Who will be hurt? Who will benefit? How might they react? How would you feel in their position? How would you want to be treated? Also consider whether the form of the announcement has any legal implications. Check out what you can and can’t say about the bad news relative to these issues.
  • Don’t dawdle. Rumor mills start early and work fast.
  • Never underestimate or overestimate your audience’s intelligence—and never lie. People know when you’re trying to hide something, and when you’re treating them like dolts. Be sure to choose words and explanations that everyone can understand. Avoid management jargon.
  • Rehearse your message and follow-up plan. Practice what you’ll say and how you’ll respond to questions, anxiety and anger.
  • Communicate face-to-face whenever possible. People need a human face. It appears cowardly when you don’t show up to deliver bad news. Let your humanity come through. You can’t be empathetic in an e-mail.
  • Own your role. If you had to make the decision, or were part of it, say so. Don’t say “It was decided.” Instead, say “We (or I) decided.” Be candid.
  • Provide context. Most staff understand that it’s business—there’s only so much money, a decision didn’t work out, and so on. Frame the situation so that people recognize the rational choices involved.
  • Reassure. If staff positions are affected, explain what the organization will be doing for those staff (without calling attention to specific individuals). In general, describe how your business will address the event, condition or decision going forward.
  • Listen and respond. It’s OK to say “I don’t know” when you don’t know. Even better: “I don’t know, but I’ll find out and get back to you with that information.” Of course, sometimes you have to say, “I can’t answer that” or “I’m not able to discuss that at this time.”
  • Praise and thank people. Most people work hard and enjoy belonging to something bigger than themselves. Bad news can tear at the fabric of that belonging. Let them know that you notice, you care, you appreciate, and that you’re all in this together. People respond better to a leader who serves than to one who dominates.

Good communication starts before bad new strikes. This means that you communicate regularly in person with your staff; listen more than you talk; deliver on your promises (or explain why you cannot); and hold yourself accountable by following words with deeds. When staff trust you, delivering bad news will be easier.

Vince Hyman is a St. Paul, Minn.-based writer and editor.

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Note: The opinions expressed in this article are those of the author and do not necessarily reflect the views of FedEx.

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