Mergers and acquisitions (M&As) are very much a part of doing business today. Companies with paired interests team up to be more competitive in their markets or to expand into new ones, and large companies are constantly looking for smaller ones to absorb for faster growth.
In other words, a merger or acquisition can benefit everybody involved — as long as you don’t lose your most important players: the employees who make your organization tick.
Avoiding an employee exodus
If you don’t want to find yourself with a massive employee turnover right after a merger or acquisition, here are some suggestions:
- Offer a cash retention agreement: Money talks, and a cash incentive or retention agreement goes a long way toward reassuring your key employees that they have value.
- Communicate clearly and often: Do not keep your valued employees in the dark about what to expect during the transition process. Let them know if their jobs are secure, despite the changes.
- Give adequate training: During M&As, workloads typically increase for key employees. If they don’t feel like they’ve been adequately prepared for their new job duties, they may head for the door.
- Be supportive of your employees’ emotional needs: You need team leaders who are “tuned in” to their employee’s feelings and needs, a plan for proper integration of the workforce and a way to obtain honest feedback throughout the integration process. Employees without a voice in their working conditions are most likely to leave.
You’ve worked hard to get your organization to this point, and you know that mergers and acquisitions are nothing to fear. Now, you just need a plan in place to make sure that all of your bases are covered for a successful future.