Employee Relations

Workplace Communication Basics (Click to open/close)

Internal communication plays a key role in organizations. Effective communication contributes to improved teamwork, safety, innovation and quality of decision-making in organizations. Firms that communicate well are 4.5 times more likely to report high levels of employee engagement and 20% more likely to report lower turnover rates than their peers. ¹ However, in today’s workplace, the advent of Generations X and Y and the rate of technological change pose new communication challenges. In this context, HR is a strategic partner in leveraging the essential relationships between employees and top management. HR professionals are needed to advise, develop and implement communication programs in tune with each organization’s culture and needs.

Employee Communication—Best Practices

Best companies encourage regular, open communication with their employees. Timothy Wuest, president of Badger Mining—the company that tops the SHRM 2007 list of “50 Best Small and Medium Companies to Work for in America”—stated that the company practices “a lot of transparency, including opening up our financials, showing employees the threats we have and the opportunities.” ² Ultimately, everything that a company does communicates a message to its employees.

While necessary in periods of change or crisis, communication is also essential on a routine basis. Communication provides updates about the organization, such as progress on fulfilling organizational goals or reasons for policy changes. Ongoing reports from senior management on business strategy and policies, for example, demonstrate respect for the employees’ role in the company development, provide direction and foster trust. ³ It is important to be upfront and transparent about both positive and negative issues. ⁴

A recent Watson Wyatt research study analyzed companies with effective employee communication and offered the following suggestions: ⁵

1. Develop a formal communications program based on a documented strategy. The program should include regular opinion surveys, internal branding efforts and communication between all groups within the company.
2. Follow up on employee suggestions by incorporating them in future strategy or explaining to all staff why they are not feasible at the moment.
3. Use compensation and bonuses to develop the company image. Make sure employees understand the benefits program and their compensation packages.
4. Leverage technology through the use of blogs, podcasts and/or intranets.
5. Communicate openly to employees about matters that affect them by sharing financial information, business plans and strategic goals.

In partnership with top management, HR plays a key role to support communication by creating a forum for employee discussion and encouraging questions. Communication is not merely transmittance/dissemination of information. ⁶ Feedback helps to ensure the message achieved its purpose and produced an emotional impact on the listener. Feedback also assists the organization in changing its communication messages accordingly. When the organization sets strategic goals or makes change decisions, it is essential to obtain the buy-in of all employees and ensure they understand the message correctly.

New communication techniques can help to improve sharing and retention of information. Message maps, for instance, are one-page summaries of a change process, assembled by the leadership team. ⁹ They help create clarity and consistency of the message transmitted by top management. Storytelling and visual metaphors are other techniques that convey information in a clear, emotionally engaging manner and stimulate conversations about the business. ¹⁰

While other channels such as bulletin boards, intranets, newsletters and e-mail may be most efficient for certain messages, one can never underestimate the power of face-to-face communication. Media such as reports and letters are less effective for information exchange than dynamic, “richer” channels—one-on-one conversations, corridor chats, small group meetings—that incorporate dialogue. ¹¹ In fact, the majority of employees still prefer to get their news face-to-face from immediate supervisors. ¹² For example, CEO meetings with employees help build affinity and trust, and luncheons, roundtables and cross-departmental work groups facilitate communication among employees. Therefore, HR and top management must work together to enable supervisors to be the key communicators of the organization.

Endnotes

¹ Watson Wyatt. (2006). Effective communication: A leading indicator of financial performance. 2005/2006 communication ROI study. ^TM Retrieved June 19, 2007, from www.watsonwyatt.com.
² HR News Staff. (2007, June 26). SHRM honors 50 best small and medium companies. HR News.
³ International Association of Business Communicators Research Foundation & Right Management Group. (2005). Best practices in employee communication: A study of global challenges and approaches. Retrieved June 25, 2007, from www.iabc.com/rf/.
⁴ Kress, N. (2005). Engaging your employees through the power of communication. Workspan, 48(5), 26-32.
⁵ Watson Wyatt. (2006). Effective communication: A leading indicator of financial performance. 2005/2006 communication ROI study. ^TM Retrieved June 19, 2007, from www.watsonwyatt.com.
⁶ Gray, R., & Robertson, L. (2005). Effective internal communication starts at the top: Help executives understand the need for clear, concise communication. Communication World, 22(4), 26-29.
⁷ Dewhurst, S., & FitzPatrick, L. (2006, October/November). Making key messages memorable. Strategic Communication Management, 10, 6-7.
⁸ Lettice, F., & Brayshaw, K. (2007). Using graphical techniques to communicate strategy: An exploratory study. Strategic Change, 16, 145-159.
⁹ Harris, S. (2007, February/March). Using message maps to guide change. Strategic Communication Management, 11, 2.
¹⁰ Pounsford, M. (2007, April/May). Using storytelling, conversation and coaching to engage. Strategic Communication Management, 11(3), 32-35.
¹¹ Miniace, J., & Flater, E. (1996, January/February). Communication: A key factor in strategy implementation. Planning Review, 26-30.
¹² Sprague, R. W., & Del Brocco, S. F. (2002). Calculating the ROI on internal communications. Employment Relations Today, 29, 33-44.

Source: SHRM “Briefly Stated” series, 8/1/2007

The 'What' and 'Why' of Employee Engagement (Click to open/close)

Employers are increasingly asking their employees to “do more with less.” Yet countless studies warn that disengaged employees won’t deliver peak performance. Understanding what engagement is all about—and why it matters—is a good place to start.

Engagement is defined by benefits consultancy Watson Wyatt as a combination of commitment—the motivation employees have to help the organization succeed—and line of sight—the focus and direction employees need—to know what to do to make the organization successful.

Translating an Idea into Action

Watson Wyatt reports that the level of employee engagement (or disengagement) depends on how effectively the organization:

• Ensures that senior leaders set the direction.
• Focuses employees at all levels on the customer.
• Compensates people based on performance and customer focus.
• Communicates corporate strategy and goals, the importance of the customer and the value of the total rewards package clearly.

Other organizations’ definitions differ slightly.

“Employee engagement is measured by the ability and willingness of individuals to exert extra effort for the benefit of the company, their tendency to speak highly of the organization and their intent to stay,” according to Greg Harris, president, Quantum Workplace, a market research company that surveys employee engagement.

In a February 2009 statement, Quantum Workplace, best known as the research firm behind Best Places to Work programs in more than 40 metro areas, released a list of five key factors that set companies with higher engagement scores apart from others. Such companies:

• Set a clear, compelling direction that empowers each employee.
• Engage in open and honest communication.
• Maintain a focus on career growth and development.
• Recognize and reward high performance.
• Provide employee benefits that demonstrate a strong commitment to employee well-being.

Meanwhile, HR consulting firm Juice Inc., says engaged employees might describe their experience using five statements:

• “I Fit.”
• “I’m Clear.”
• “I’m Supported.”
• “I’m Valued.”
• “I’m Inspired.”

“When employees have a sense of purpose, significance and security, when they feel that they belong to a group yet have the freedom to work and advance individually—that equals true engagement,” said Brady Wilson, a founding partner of Juice Inc., in a statement. “Workers in this case get fulfillment from their work, so not only will they stay at their job but they’ll offer their discretionary effort as well.”

Why Engagement Matters

Watson Wyatt's 2008/2009 WorkUSA Report, Driving Business Results Through Continuous Engagement, released Feb. 10, 2009, reports that highly-engaged employees are twice as likely as their less-engaged peers to be top performers.

Moreover, when employees are highly engaged, their companies enjoy 26 percent higher employee productivity, have lower turnover risk and are more likely to attract top talent. The companies of highly-engaged employees earned 13 percent greater total returns to shareholders over the past five years.

Such workers miss 20 percent fewer days of work, and three-quarters of them exceeded or far exceeded expectations in their most recent performance review.

Additionally, highly-engaged workers tend to be more supportive of organizational change initiatives and resilient in the face of change.

“During periods of turmoil—when the organization is undertaking cost-reduction measures, consolidations or other dramatic change events that will profoundly impact employees—maintaining or enhancing employee engagement can be critical to the organization’s return to profitability,” the report notes.

Watson Wyatt surveyed more than 13,000 full-time U.S. workers in May and June 2008, before the full advent of the financial crisis.

Engageable Moments

"Keeping workers engaged and productive is always a daunting challenge. However, it's even more crucial in this type of economic environment when organizations are striving to do more with less and employees are paying closer attention," said Ilene Gochman, global-practice leader for organization effectiveness at Watson Wyatt, in a statement.

The report suggests employers capitalize on "engageable moments,” virtually any opportunity an employer has to motivate employees and provide direction.

Formal and Informal ‘Engageable Moment’ Opportunities

Source: Adapted from Watson Wyatt's 2008/2009 WorkUSA Report.

WorkUSA data shows that engagement starts off high among new employees but tapers off through careers—average employee engagement drops by 9 percent in the first year alone. Almost three-quarters (71 percent) of employees on the job for less than six months say that they are motivated to do their best work every day. This number drops to 57 percent after six months. "While some decline is inevitable, companies that identify and take action around engageable moments can minimize or potentially even reverse the decline," noted Gochman.

"Improving employee engagement will help drive business results in the long run by improving employee commitment to corporate goals and generating exceptional individual performance and productivity," added Gochman.

But it’s not the top performers who will deliver the big results, according to Watson Wyatt. The real key to driving big productivity gains is by increasing engagement among the vast middle group of employees—the core contributors who represent about 60 percent of the workforce.

Rebecca R. Hastings, SPHR, is an online editor/manager for SHRM. 

Practical Tips for Successful Progressive Discipline (Click to open/close)

Employers are often frustrated by the notion of a never-ending employment relationship with troublesome employees. They are dismayed when faced with the challenge of addressing performance or behavioral issues with employees who feel empowered by protection under a collective bargaining agreement. Even nonunion employees are acutely cognizant of their rights, leaving employers feeling paralyzed and ill-equipped to act. However, employers can negotiate the confusing, intimidating path of discipline effectively and secure a successful outcome by maintaining two fundamental principles: 1) Employees deserve the opportunity to understand what is expected of them in terms of performance and behavior; and 2) A warning notice is a tool used to explain to employees what is unacceptable and to give them the opportunity to change their behavior or performance through corrective action.

It is beneficial for employers to establish a written policy based on operating practicalities that clearly delineates who in the organization retains the authority to administer discipline. For example, employers may wish to allow first-line supervisors to issue written warnings or suspensions but to defer terminations to the human resource professional in the organization. The organizations policies and procedures should remain flexible enough to allow for necessary deviations. For example, policies should indicate the steps that can and may be taken, but not necessarily that will be taken, to avoid the policy being construed as a binding agreement or unnecessarily tying the employers hands.

Disciplinary action may take the form of verbal counseling, written warning, or a suspension without pay for a designated period of time or dismissal. Generally speaking, discipline should be progressive, although there are circumstances under which some steps in the disciplinary process should be bypassed. It is a good idea to follow this policy regardless of the union status of employees and, in particular, to administer the practice consistently with respect to union and nonunion employees in organizations in which both exist.

Before disciplinary action is taken, the supervisor should review the employee’s disciplinary record. Ideally, employees should not be terminated before consulting with a representative from human resources. Even in circumstances under which the likely outcome will be the employees termination, the employee can be suspended pending investigation, and, if the employee is ultimately terminated, that termination should be done in the proper, controlled environment in a professional manner.

What Is Progressive Discipline?

For discipline to be progressive, each related event or incident must trigger a response that is more severe. Each step in the process more strongly encourages the employee to modify his or her behavior. Generally speaking, unless a particular incident rises to the level of just cause for termination, many arbitrators have ruled that the requirement of progressive discipline has not been satisfied unless a suspension was administered prior to termination. Some employers have adopted a two-track system for progressive discipline. In this system, discipline for attendance and/or tardiness involves progressive written warnings but not suspensions (the rationale being that a suspension rewards the employee with additional time off), while discipline for other performance or behavior issues includes suspending the employee. Employers with union workers should review collective bargaining agreements for language that covers the topic of progressive discipline.

An example of progressive disciplinary process is:

• Step one: Verbal Counseling (place documentation of counseling in the employees file, including the reason for counseling, the date and time of counseling and who was present).
• Step two: First Written Warning.
• Step three: Second Written Warning accompanied by short suspension (usually one to three days).
• Step four: Third Written Warning with long suspension (usually at least one work week). This may also be the Final Warning.
• Step five: Termination.

Some serious infractions warrant skipping one or more steps and jumping to a higher level of discipline (very serious infractions such as fighting or theft may warrant termination as the first and only step). For very serious infractions, it may be appropriate to suspend an employee and contact the human resource department to review the incident. For example, it may be advisable to suspend employees involved in a physical altercation because the organizations primary objective may be to remove the danger rather than to announce a termination and risk the escalation of a situation.

Warning Notices

Written warning notices, necessary for the documentation of disciplinary action, should follow the following guidelines:

1. They should be written on official forms. Avoid writing memo to employee warnings, which are less recognizable and which employees can deny having received.
2. The specific date, time and location of the infraction and the specific nature of the infraction should be detailed on the notice.
3. Avoid using one warning notice for different infractions (unless they are related, such as patterns of absence or lateness).
4. Check the employee’s history. Warning notices should be sequential (check to see if the employee has already received a written warning for this type of offense). The notice should include the step of the discipline process (i.e.: first written warning, second written warning, etc.)
5. Any suspension should be indicated specifically on the notice, including the number of days suspended and the dates.
6. The notice should state the next step the employee should anticipate if the infraction is repeated (Another occurrence of no-call/no-show will result in a one-week suspension.).
7. The employee should be asked to sign the notice. If the employee refuses to sign, write employee refused to sign in the space and have a witness initial that the employee received a copy of the notice.
8. Warning notices are documents the employer may need at unemployment hearings, arbitrations or in defense of wrongful termination or discrimination claims. Employees and union delegates should NOT write on the notice, other than a signature. If the employee or delegate wishes to submit a written response, it should be on a separate sheet of paper and attached to the warning notice.
9. The interval between warning notices is very important. Warning notices issued one year or more before a second warning notice should be given little weight, unless both infractions are of a major or severe nature.

A Word About Verbal Counseling and Final Warnings

There is an old saying in labor relations: If it isn’t in writing, it didn’t happen. Even verbal counseling should be documented. The documentation, which should include the date and time of the session, serves to memorialize the session so that it can be referred to subsequently. The employee should be told that this is only a verbal counseling but should be asked to sign the documentation.

Generally speaking, an employee should only be counseled once. Sitting down and talking to an employee over and over about an issue usually just intimidates the employee, frustrates the supervisor and negates the legitimacy of the progressive disciplinary process. Similarly, when preparing to deliver a final warning to an employee, managers should be prepared to stick to it. Attorneys representing employees love to see multiple final warnings; the more there are, the less they mean! The manager and the employee should both be aware that a final warning is just that final. The only appropriate next step is termination. There is no going back.

Union Representation

If employees covered under a collective bargaining agreement believe that meeting with a supervisor or being questioned during an investigation may result in disciplinary action against them, they have the right to a representative. This right is called the Weingarten Rule. Union employees have the right to request a union delegate. The supervisor does not need to provide a representative; however, the employee should be afforded a reasonable time to obtain one. Union delegates should be required to sign warning notices issued to employees whom they represent. There is a wealth of further information available regarding employees rights during an investigatory interview.

Tips for Successful Discipline

• Do not speak to employees out in the open. Employees deserve to be afforded privacy when being counseled. Regardless of the infraction, employees do not deserve to be embarrassed.
• Managers should maintain a professional, calm demeanor and be firm, but speak to employees with the same respect they deserve.
• Managers who come across a situation which will necessitate counseling an employee, and of which proof will be needed later on (for example, a dirty area the employee was supposed to have cleaned, or an employee who is missing from his or her assigned work area), should contact a union delegate or other person to witness the situation.
• Unless the severity of the incident dictates severe discipline, do not skip the normal steps. Usually, this results in the perception that the employer was looking to expedite the employee’s termination. Each case should be evaluated individually.
• In all situations, if an employee is a union member, ask if he or she requests a delegate. Although not legally required, this practice demonstrates good will. If the employee declines, the employee should sign that he or she refused a delegate. Give the employee a reasonable time to seek out a delegate. In a situation where there is imminent danger, such as threatening or fighting, the employee should be told to punch out and leave the premises and contact the department to arrange for a meeting, to which he or she can bring a delegate.
• Remember that the notice is called a Warning Notice because the employer is trying to help employees correct the behavior that is getting them in trouble. Employers don’t write people up to get them; nor is most employees overall objective to get fired.
• Employees fire themselves. They begin their employment with perfect performance and a perfect attendance record. As they deviate from that model, they are counseled, then warned and then suspended. If they choose to ignore these warning signs, they will have fired themselves. The bottom line is: firing should never be a surprise for the employee.
• Sometimes managers hesitate to write employees up because of emotional factors. Usually, if a problem is ignored, it doesn’t go away it gets worse. An employer is actually doing employees a disservice by ignoring their behavior, making excuses for it or being overly sympathetic. Employees appreciate knowing where they stand. One of the worst scenarios is a supervisor who fails to write up an employee who, in turn, continues to think nothing’s wrong. Then, one day, the supervisor can’t take it anymore and emits a frustrated YOURE FIRED!
• Untruthful performance feedback can also have significant legal ramifications. Discipline should always be consistent with business necessity; warning notices should document the business reasons for addressing the issue.

These tips should help alleviate some of the apprehension associated with the process of disciplining employees, as well as to build the necessary foundation for surviving the inevitable disciplinary grievances.

Thomas Salvo, SPHRSHRM White Paper, July 2004
Thomas Salvo, SPHR has a Master of Science degree in Human Resources Management and Labor Relations and is the Director of Labor Relations for Jamaica Hospital Medical Center located in Queens, New York. The voluntary not-for-profit teaching hospital employs more than 3,000 employees and has employees represented by several different unions.

This paper is intended to provide general information and is not a substitute for legal or other professional advice.