Work’s not as perky as it used to be
By anthony balderrama on Mar 10, 2009 in Featured, News
Pardon the titular pun, but I couldn’t resist.
A couple of weeks ago, I posted about the new CareerBuilder survey that showed employers plan to reduce the perks they offer employees in 2009. In the past few months, we’ve seen some employers force their staff to take take furloughs, stop contributing to employee 401ks, and even get rid of benefits all together.
Compared to those big salary/compensation hits, the loss of smaller perks might not be so bad. Is anyone going to be that upset not to have a holiday party? Probably not. However, the tiny niceties might be the ones you miss the most. Just last week a Chicago law firm decided to stop providing free coffee to its employees, according to a leaked memo. One of the firm’s partners responded to the memo:
“George, I know this will save some dollars, but they are small dollars. For the small savings, I think this is a mistake. To me it sends a message of desperation…
That brings up the point: When do these administrative cuts go too far? Have you seen coffee addicts without their morning cup? Not pretty.
Although not necessarily work-related, I find it amusing that just the other day Ben and Jerry’s made it a point to tell everyone that they’re not reducing the size of their containers, unlike one of their competitors. Their reasoning? Now more than ever people need cold comfort food. In this age of cutbacks, keeping the status quo is its own statement.
Elizabeth Pagano | Mar 25, 2009 | Reply
Employers using the strategy you describe seem rather short-sited. How companies treat their talent during the tough times will vastly determine the level of loyalty and engagement they get when the economy cycles back around. Long-term employer brand and reputation are critical. Instead of forced “furloughs”, companies should consider voluntary sabbaticals as a way to cut salary costs during the economic downturn. If designed properly, sabbatical programs can be a low-cost strategy for reducing salary costs AND boosting morale AND training opportunities. It’s so much more of a positive, collaborative approach.