Thursday, August 20, 2009

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Most employees in dark abt biz performance impact on pay

Companies in different parts of the world are keeping their employees better informed about business activities amid economic downturn, but on pay and benefits, the communication seems to be far less, says a survey.

According to global consultancy firm Watson Wyatt, many companies have either communicated to employees about their business performance or plan to do the same in the coming months.

However, the report noted that a considerable chunk of firms surveyed have not informed their employees much about the impact of business performance on pay and benefits.

"Though three-fourths of companies have communicated to employees about the organisation's business performance or plan to do so within 12 months, a considerable number of companies aren't making the connection between the business results and things that affect workers most personally: pay and benefits," the report noted.

The findings are the outcome of a survey covering a total of 328 employers from North America, Europe, the Middle East and Australia who took part in the study, from late-April through mid-June 2009.

In the coming months, only 28 per cent of companies plan to increase communication to employees on business performance. But, when it comes to benefits for employees, only 27 per cent intend to increase their communication while it is only 19 per cent in the case of pay.

"During the past year, employers across many industries have encountered significant challenges in dealing with the global economic downturn,

"... Messages to employees explaining these changes have not been easy to deliver. Employees are concerned and confused. They do not know what all this means for their future or when the next take-aways will come along," the report said.

In terms of the medium of communication with employees, 'face-to-face discussions', 'staff meetings' and 'e-mails' are preferred, the report added.

As per the survey, leaders at different levels of their organisations have different goals for communication efforts. Among those surveyed, about 49 per cent senior leaders are most apt to communicate to ease employee stress regarding the impact of economic downturn on business.
Source: EconomicTimes


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