Helping Employees During a Recession

Here in the early days of 2009, people the world over are feeling the effects of the global recession. The daily news is blaring stories of massive layoffs, cutbacks, and closures. After a while, all of this bad news takes it toll. As a manager, how can you help your employees during this difficult time?

If your business is doing fairly well or has stabilized after downsizing, it is a good time to help focus employees on doing their best to retain existing customers. Good customers who pay on time are golden! Elite Jobs for elite professionals! Let Doostang help accelerate your career. www.doostang.com

During the period of focus, remind your employees of their successes. While it may sound like a pep talk, its more than that. It is a vote of confidence for the individuals who are sustaining the company through hard times.

Remind your employees of often overlooked or under utilized benefits, in particular, educational reimbursement. New thinking and skills lead economies out of recessions. Having your employees ready, from an educational point of view, is good for them and for the company. It can also be a tax benefit for the company. Don't forget retirement and 401(k) plans either!



Difficult times also call for imaginative thinking. When resources are cut the old saying "necessity is the mother of invention" stands out. Encourage employees to imagine both new products and services, as well as new ways to run the business. Maybe, just maybe, there is a transformative idea that will set the business on the path to new success.

As managers, we should see the human side of our employees first. Recognizing the needs of our employees allows us to best execute our corporate mission. Recessionary periods increase the need for positive communication and reassurance. Focusing on the positive can help to inspire employees who are fearful and distressed and motivate them to do their best. Recessions are hard on companies and employees, but managers can do their part to see the business through by nurturing their most valuable assets, their employees.

Helping Employees During Open Enrollment

It's October and that means its time for open enrollment for work place benefits.

Most companies with open enrollment have benefits such as 401(k), health insurance, as well as flexible spending and possibly additional paid time off (PTO).

A good manager encourages their employees to review their current benefits, and consider changes for the new benefit year.

First, despite the current financial mess, encourage employees to contribute to their 401(k) plan. Any corporate contribution is a net positive. As we have seen over the last 70 years, the stock market has averaged about 11% growth. Don't stop saving! Cheap? No. 100% Free. Trade stocks for free on Zecco.com. The Free Trading Community. www.zecco.com

Second, employees should review their health plans. They may consider more expensive PPO plans if they are planning a family or have specialized needs that these types of plans cover. For younger employees in good general health, they may consider low deductible plans.

Third, flexible spending is a great benefit, especially for families. By tucking away money, tax-free, for medical and day care expenses can be a real boost. Remind employees that the benefits must be consumed by the end of the benefit year or the remaining balance will be forfeited. Compare Annuity Investment Plans!

Finally, if additional paid leave is offered, employees may want to consider it, if they have contributed to a 401(k) first. It may be important for those with community service commitments, or athletic competition to have the time available to take off.

As a manager, your employees' well being is a very serious matter. Although open enrollment is very personal, your guidance and understanding of the benefits offered can be a benefit all to itself. Encourage saving, as well as appropriate health coverage. Also, don't forget the financial benefit that flexible spending accounts and health care reimbursement accounts bring.