Employers’ Organisational Reaction to COVID-19

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The coronavirus outbreak that originated in Wuhan, has lead to a global pandemic. Governments have shut borders and imposed quarantines, and companies have imposed travel bans. The human and economic impacts on businesses have been stark.

This epidemic has been a wake-up call for companies to carefully review the strategies, policies, and procedures they have in place to protect employees, customers, and operations in this and future epidemics.

With industries including travel, hospitality and retail under extreme financial pressure as a result of measures to limit the spread of coronavirus in the UK, many businesses are facing difficult decisions when it comes to the employment of staff.

The impact on businesses is already significant. Individuals have been told to avoid bars, clubs and theatres, and many events have been cancelled. Much of the UK’s car production has paused and airlines such as British Airways have advised staff to prepare for layoffs.

Some businesses have made it clear they are doing all they can to avoid making staff redundant. Former England footballer Gary Neville took to Twitter to assure his followers that although his two Manchester hotels would be closed to the public from next week, no staff would be made redundant or asked to take unpaid leave.

Employers needed to consider all options available to help them to manage workforce costs and avoid redundancies, said Ben Willmott, head of public policy at the CIPD. For some organisations this would mean considering measures beyond maximising home working and restricting overtime to keep people in jobs, he said.

Director of Epic HR, Gary Cookson, noted that all these measures will inevitably come with their own downsides, and there wouldn’t be a ‘one size fits all’ approach for all businesses, or indeed all staff members. Cookson advised organisations to talk openly to staff about the options, but added that HR “might be surprised by the [positive reaction among staff to] creative responses to the situation, particularly if it is made clear that the business wants to avoid redundancies”.

Updating Benefits Policies 

The likelihood that increasing numbers of employees will be unable to work either because they are sick or must care for others means that companies should review their paid time off and sick leave policies now. Policies that give employees confidence that they will not be penalized and can afford to take sick leave are an important tool in encouraging self-reporting and reducing potential exposure. Our employer survey found that nearly 40% of employers have or plan to clarify their pay policy if worksites are closed or employees are furloughed.

While few companies outside of Asia have closed worksites yet because of the epidemic, about half of the Chinese companies we surveyed had shut down worksites at least temporarily. Such closures will likely become more common outside of Asia should the epidemic continue on its current course.

Most firms will treat Covid-19 in their policies as they would any other illness, and sick leave or short-term disability insurance would be applicable.  However, exclusion from the workplace might not be covered by disability policies, and prolonged absence could last longer than available sick leave. Our survey found that more than 90% of employers in China paid their workers in full and maintained full benefits during furloughs. Companies should promulgate clear policies on this now and communicate about these with employees. Most will want to offer protections to their workforce to the extent this is financially feasible.

Ensuring employees can effectively work from home

While many jobs (retail, manufacturing, health care) require people to be physically present, work, including meetings, that can be done remotely should be encouraged if coming to work or traveling risks exposure to the virus. Videoconferencing, for instance, is a good alternative to risky face-to-face meetings. Nearly 60% of the employers we surveyed indicated that they have increased employees’ flexibility for remote work (46%) or plan to (13%).

Communicating with Employees on non-working Issues

Dangerous rumours and worker fears can spread as quickly as a virus. It is imperative for companies to be able to reach all workers, including those not at the worksite, with regular, internally coordinated, factual updates about infection control, symptoms, and company policy regarding remote work and circumstances in which employees might be excluded from or allowed to return to the workplace.  These communications should come from or be vetted by the emergency response team, and they should be carefully coordinated to avoid inconsistent policies being communicated by different managers or functions. Clearly this requires organizations to maintain current phone/text and email contact information for all employees and test organization-wide communication periodically. If you don’t have a current, universal contact capability already, now is a good time to create this.

Cancelling Conferences & Rescheduling Meetings

Yes. There is mounting evidence that social distancing can delay the epidemic and potentially save lives, so most meetings and conferences should be converted from in-person to virtual. Some states and localities are banning meetings of more than 250 people. If you have a meeting, limit the number of attendees and encourage those who are older or have chronic disease to attend virtually. Provide room to allow attendees to sit or stand at least six feet away from others. Discourage hand-shaking and assure that proper handwashing facilities (and/or hand sanitizers) are easily available. If you have any questions about best practices, contact your local health department.

Prepare staff for other roles

With many organisations facing a significant drop in business as a result of social distancing measures, many staff may find themselves unable to carry out their jobs in the same way, either because they are not needed or because the nature of their role means they can’t work from home. To work around this, employers can consider offering different duties to those staff that reflect the new needs of the business, said David Harris, managing partner at DPH Legal.

But, Harris added, such measures were subject to employees having the right terms in their contracts. Anything that amounted to a variation in an employee’s contract needed their consent, he said, suggesting that in such cases employers should consult with individuals and come to agreements on a one-to-one basis. “Obtaining consent before you press ahead is important because otherwise you’re risking a claim arising,” he said.

Prepare staff to temporarily join other businesses

There are already some encouraging stories circulating of staff within the hardest hit sectors being redeployed to other now high-demand areas. For example, earlier this week (18 March), it was announced Inverness theatre company Eden Court was to work with its funders, the Highland Council, to find ways for its 200 employees to join the authority’s response to Covid-19.

The theatre was faced with laying off 200 staff, with 75 per cent of its income coming from ticket sales and bar/cafe takings. Details were still under discussion, but potential options included using the engagement team, who already work with children, young people and the community, to collaborate on the delivery of education projects for young people in the Highlands.

There are also recruitment platforms which are helping businesses with their vacancies – such as in the logistics sector for example – to be matched with companies faced with having to let staff go who might possess relevant skills.

Reduce hours

One obvious option many employers have already looked at is reducing employees’ hours to share the salary hit fairly and evenly among staff. Martyn Dicker, director of people at Unicef UK, said this was something he’d had to consider in previous similar situations in the past, and something which could work well. 

But Jo Stubbs, global head of product content strategy at XpertHR, warned employers attempting to reduce working hours unilaterally without such powers being written into workers’ employment terms, could amount to a fundamental breach of contract. “In these circumstances, the employee could pursue a claim for an unlawful deduction from wages, breach of contract or constructive dismissal,” she said.

Employers should speak to their personnel to gain voluntary consent for any cuts to hours outside of their contracts, and suggested putting any agreement in writing.

Given our current situation knowing that your colleagues or employees are best suited for this new scenario we find ourselves in. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It is now important to find out whether your managers or your team is well-equipped of working together from various locations. It requires deep knowledge of their personalities, strengths, weaknesses, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you discover if your people are resilient during times of hardship, if they are autonomous, if they are team players, without actual human contact. Given that our platform is cloud-based, everyone can use it from home as well. Humanity finds itself at a crossroad for various reasons now, why not help people discover and develop themselves from the comfort of their own homes?

Request a free demo:

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Sources:

https://www.peoplemanagement.co.uk/news/articles/coronavirus-employers-avoid-redundancies
https://hbr.org/2020/03/8-questions-employers-should-ask-about-coronavirus
https://www.forbes.com/sites/alonzomartinez/2020/03/03/what-employers-should-consider-amidst-a-coronavirus-crisis/#49e6371a2180

Mental Health and its Importance during the COVID-19 Pandemic

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As news about the coronavirus outbreak continues to dominate the headlines and millions of people—in the U.S. and the world over—are being asked to self-quarantine, it has become increasingly significant to pay as much attention to our mental health as we do to our physical health. 

“Pandemics such as the one we are currently grappling with often ignite fear, anxiety and erratic behaviours,” says Dr. Kelly Vincent, a licensed clinical psychologist practicing in Encinitas, California. “When fear takes control, both our nervous system and emotional part of our brain go into overdrive. This response can lead to impulsiveness, panic and feeling out of control emotionally,” she says. “If a person has a pre-existing mental illness or history with anxiety and depression, it can often worsen and intensify during times such as these,” Dr. Vincent points out. If the stress and anxiety worsen then “it may trigger negative physical symptoms such as an elevated heart rate, insomnia, digestive issues, weakness and fatigue,” tells Dr. Janine Kreft, an Austin-based clinical psychologist. 

If you’ve been feeling anxious, frustrated, angry or downright confused lately, know that you’re not alone—we are all in this together.

Within weeks, the familiar symptoms of mental illness can become universal reality. A new poll from the Kaiser Family Foundation found nearly half of the respondents saying that their mental health was being harmed by the coronavirus pandemic. Nearly everyone on this planet is experiencing varying degrees of grief, panic, hopelessness and paralyzing fear. If you say now how terrified you are, the most common response you will get is “What sensible person isn’t?”

But that response can cause us to lose sight of the dangerous secondary crisis unfolding alongside the more obvious one: an escalation in both short-term and long-term clinical mental illness that may endure for decades after the pandemic recedes. When everyone else is experiencing depression and anxiety, real, clinical mental illness can get erased.

While both the federal and local governments have responded to the spread of the coronavirus in critical ways, acknowledgment of the mental illness vulnerabilities has been hasty. Governor Andrew Cuomo, who has so far enlisted more than 8,000 mental health providers to help New Yorkers in distress, is a fortunate and much welcomed exception.

The Chinese government moved psychologists and psychiatrists to Wuhan during the first stage of self-quarantine. No comparable measures have been initiated by our federal government.

The unequal treatment of the two kinds of health — physical over mental — is frighteningly similar with our society’s current disregard for psychological stability. Insurance does not offer real uniformity of coverage, and treatment for mood disorders is generally deemed a luxury item. Given the fact that we are facing a dual crisis of both physical and mental health, those facing psychiatric challenges deserve both acknowledgment and treatment.

There are roughly four responses to the coronavirus crisis and the social isolation. Some people take it all in stride and rely on a foundation of unshakable psychic stability. Others constitute the worried well, who need only a bit of psychological first aid. A third group who have not previously experienced these disorders are being catapulted into them. Last, many who were already suffering from major depressive disorder have had their condition exacerbated, developing what clinicians call “double depression,” in which a persistent depressive disorder is overlaid with an episode of unbearable pain.

Social isolation generates at least as much escalation of mental illness as does fear of the virus itself. Julianne Holt-Lunstad, a psychologist, found that social isolation is twice as harmful to a person’s physical health as obesity. For example, solitary confinement in prison systems causes panic attacks and hallucinations, among other symptoms. Isolation can even make people more vulnerable to the disease it is intended to forestall: Researchers have determined that “a lonely person’s immune system responds differently to fighting viruses, making them more likely to develop an illness.”

In order to improve your mental and emotional wellbeing, here are a few handy strategies to help you during these trying times:

Reduce Social Media & News Input

“I would encourage everyone to limit their exposure to the news and to customize their social media feeds—by following more accounts and pages that make them feel good—regardless of the current pandemic,” says Dr. Kreft. “Your brain is built to problem solve. And when you are already feeling fearful, it naturally seeks out stimuli in your external environment to reinforce the feeling of fear. The brain then deletes, distorts and generalizes all incoming information that does not align with your current emotional state or beliefs. So, if you spend a significant amount of time following the news, it reinforces more reason to worry— thus creating a vicious cycle.”

Get your Information from Trustworthy Sources

Some legitimate and reliable sources of COVID-19-related news and updates include the Centers for Disease Control and Prevention (CDC), World Health Organization (WHO), John Hopkins’ Coronavirus Resource Center and the U.S. Food and Drug Administration (FDA). “It is helpful to adopt a more analytical approach as you follow news reports about the coronavirus. You will also want to verify information that you receive from family, friends or social media,” says the American Psychological Association (APA). Moreover, “consume only what you need to know, what’s most relevant to you and particularly what is happening or anticipated in your own community,” suggests the National Alliance on Mental Illness (NAMI).

Maintain Connections with Friends & Family

“Maintaining social networks can foster a sense of normality and provide valuable outlets for sharing feelings and relieving stress,” states APA. “You can maintain these connections without increasing your risk of getting the virus by talking on the phone, texting or chatting with people on social media platforms,” it adds. In addition, you can take virtual tours together of museums, national parks and other sites via Google Arts & Culture, tune in to live-streamed concerts and other events or play online games with friends, suggests NAMI.

If the symptoms of stress and anxiety get any worse and you feel it is impairing your ability to function, please speak to an experienced mental health professional at the earliest.  “For anyone who is unsure about attending therapy sessions outside of home, especially those who the Centers for Disease Control (CDC) has described as being at higher risk, you can ask your health care provider about tele-therapy or mental health services online,” notes NAMI. 

Given our current situation knowing that your colleagues or employees are best suited for this new scenario we find ourselves in. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It is now important to find out whether your managers or your team is well-equipped of working together from various locations. It requires deep knowledge of their personalities, strengths, weaknesses, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you discover if your people are resilient during times of hardship, if they are autonomous, if they are team players, without actual human contact. Given that our platform is cloud-based, everyone can use it from home as well. Humanity finds itself at a crossroad for various reasons now, why not help people discover and develop themselves from the comfort of their own homes?

Request a free demo:

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Sources:

“Protecting Mental Health during Epidemics” Study prepared by Mental Health, Substance Abuse, and Rehabilitation Unit Technology and Health Services Delivery Pan American Health Organization (PAHO/WHO), originally appeared in Spanish.
https://www.forbes.com/sites/nomanazish/2020/03/24/how-to-protect-your-mental-health-during-the-coronavirus-pandemic-according-to-psychologists/#7f164f1841cb
https://www.nytimes.com/2020/04/09/opinion/coronavirus-depression-anxiety.html

The Art of Focus – Dealing with the Pandemic Effects

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Focus represents a stabilising force which leads us to insight, innovation and productivity, and those factors are expediting our recovery. It goes without saying that we are all stronger when we have control over some part of a solution, even as we are battered by the news and isolation of this ‘internal blizzard’ we are all facing.

It has been weeks since we settled into our new reality of remote work and being constantly barraged by news of how bad things can or will get. We are desperately trying to find new and relevant ways of doing business. For most of us, maintaining a high level of focus in order to be productive has been one of our key struggles during this time. This should result in us practicing attention management now more than ever, not just for the sake of our productivity, but for our peace of mind as well.

Practicing attention management is about maintaining control of where your attention goes, and realising when it’s being stolen, either by external distractions, internal thoughts or by anxiety fuelled by our social distancing. The more you become aware of your distractions, the easier it becomes to manage all of them. For the majority of us, distraction has become the norm, and the first step in changing our habit is awareness, because you can’t change a habit that you don’t think you have.

Start by acknowledging what’s distracting you. What’s taking your attention right now? Do you have kids at home? Are the dishes piling up in the sink? Or that news notification that just popped up on your phone? Once you can pinpoint where your attention is going it will become much easier to stay sharp and focused on what you are actually supposed to be doing.  

If you are working long hours in order to manage a company that provides essential services, or you’re an executive in charge of an isolated office in a home which you share with your now homes-schooling kids, it is of utmost importance that you take the time to grieve the loss of what used to constitute ‘normal’ and focus on what lies ahead.

Settle on the Now and Plan for the Future

While there are many times in life when it’s helpful to look your five-year plan or reflect on the past, during a time of crisis, it’s much more helpful to zoom in rather than zoom out. You can’t change what happened or know what will happen down the road, so focus your energy on right now, where you have some power.

When you’ve got you are focusing on the present moment, try and figure out what you need. Be as specific as possible. For example, instead of thinking, “I just need to stop crying,” decide what will help you do that. Maybe it’s going and reading out in the sun-filled balcony, maybe it’s calling your best friend, or maybe it’s just stopping and taking a few calming deep breaths.

This may sound overly simplistic and cliché, but going deep into the details of your life during a difficult time can strengthen you. If you find yourself wondering how will I would get through this week, just fixate on the next best thing you could do for yourself.

Using the Reward System

Lists are pretty powerful: They allow you to make sense of the day and bring some order to the chaos of life, especially during a tough time. Write everything that’s worrying you about what you need to accomplish on your to-do list (even if it’s something that normally comes easily, like “take a shower”). Set up reminders on your calendar, or use an app to help you out.

For example, you can use Fig, a wellness app that allows you to populate a to-do list with non-traditional wellness items as simple as stretch, drink water, breathe deeply, or call your mom. Because we are more or less tied to our phones nowadays, it can be extremely helpful to have a place where I can be reminded of small ways to stay healthy and sane during these trying times.

You don’t necessarily need an app to stay healthy or to pat yourself on the back—but do make sure you pause to acknowledge that just washing your hair and getting dressed during a crisis is something you can truly be proud of.

Ask for Support

When you’re going through a rough patch, your first instinct might be to hole up and disconnect from the rest of the world. But don’t ever forget that your friends and family are there to help.

Calling the people who love you the most during this pandemic can be extremely therapeutic. They were the ones who always kept you grounded and focused on the present moment. It is important to keep them anchored in your thought process by simply asking them for advice in terms of the tasks you should be doing next. Don’t be afraid to reach out, nobody should be alone in this and everybody is experiencing similar emotions right now so reaching out is not at all a selfish act.

Acknowledging the Pain

Now, nobody can say that they have tried to escape their own feelings by focusing their attention to the pain they are experiencing. Obviously, there are times when wallowing in your own sadness and accepting and understanding the pain is what works best, the important thing is not to judge yourself.

Most of the times, the key to handling our very own crisis is to remember that you have total control over your life. You have to accept that there are times when you have to live with the sadness and anxiety within and, of course, there is no easy fix to the situation. However, there are small things you can do to take care of yourself.  

If you can remember this, you will soon discover that in every moment of your life, there is a right thing you can do in order to gain the strength and momentum you need to move forward.

Given our current situation knowing that your colleagues or employees are best suited for this new scenario we find ourselves in. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It is now important to find out whether your managers or your team is well-equipped of working together from various locations. It requires deep knowledge of their personalities, strengths, weaknesses, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you discover if your people are resilient during times of hardship, if they are autonomous, if they are team players, without actual human contact. Given that our platform is cloud-based, everyone can use it from home as well. Humanity finds itself at a crossroad for various reasons now, why not help people discover and develop themselves from the comfort of their own homes?

Request a free demo:

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Sources:

https://www.forbes.com/sites/curtsteinhorst/2020/03/31/how-to-focus-in-a-time-of-coronavirus-crisis/#34252cf66ac9
https://hbr.org/2020/04/is-it-even-possible-to-focus-on-anything-right-now?ab=hero-main-text
https://www.themuse.com/advice/the-simple-step-that-will-get-you-through-a-crisis

Dealing with Layoffs during the Pandemic

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As the coronavirus pandemic continues to expand, the damage done to the job market looks ever more likely to be deep and long lasting. Worldwide, managers are not only dealing with the stress and remorse of having to let go a number of their co-workers, but many of them will also be feeling an underlying anxiety about their very own positions. If laying off employees is the only way to keep the business going, how do you handle feelings such as guilt, remorse and sadness? What is the best way to deliver the news when you can’t meet face-to-face? What do you say to the employees that have made the cut? And what can you do to overcome the fear about your own future?

Normally, layoffs have mostly been cut and dry with showing off as little emotion as possible. They were carried out in such a manner that made employees feel like they were just another number due to how they were being treated. Obviously, the difference between a good layoff and bad layoff is all about how they’re handled.

Layoffs that are being done during this uncertain period of time should not be any different than the ones that were normally done, there shouldn’t be any discrepancies. Many organisations make spontaneous decisions to fire their people due to fear and uncertainty. It’s only after they’ve sent their workers packing that they recognise they have made a mistake. This leads them to mass rehires afterwards. To prevent this from happening, companies should first evaluate their cash flow to see whether layoffs are the only way forward.

What the Experts Say

Firing people is difficult in normal times; but given the Covid-19 health crisis, the task is “emotionally and cognitively overwhelming,” says Joshua Margolis, professor at Harvard Business School. He continues by stating: “This experience for most of us is unfathomable. There’s a great deal of uncertainty and people’s minds are whirring. As a manager charged with dismissing a wide swath of employees, you’re pulled in different directions: Your heart goes out to people, but you have a responsibility to the company.” Furthermore, the tension that employers are experiencing right now is at least doubled given that they are worried about their very own fate. Kenneth Freeman, Dean Emeritus at Boston University’s Questrom School of Business has said: “You’re human and you’re going to have a lot of those anxious moments. But the key is to try as best you can to separate your personal worries from the task at hand. In your role as a manager, you need to be there for your people.”

Are layoffs required?

If you’re the one making the decisions about layoffs, Margolis recommends asking yourself one question: is downsizing your workforce truly necessary? The impulse to cut costs is understandable, but this is not a recession that takes place every few years. Significantly, this pandemic will live in the memory of people for years to come and the psychological impacts of it are yet to be comprehended at their full capacity. As a leader, you are required to show resourcefulness, creative forward thinking about how your company can save as many employees as possible. Talking with the management team and discussing every other possible alternative is also an important, logical step to make. Firing people should represent a last resort kind of situation and if you absolutely have to do it, try and avoid multiple rounds of letting people go.  

Research

If you decide layoffs are necessary or others have made that decision for you, then make sure you’re prepared before you reach out to the affected employees. Figure out what and how to say to each and every one of them. Talk to them on a personal level. People are likely going to have a lot of questions regarding the why, the timing, their benefits, and severance package (if applicable). These conversations may need to happen fast, but you’ll have a better chance of easing both yours and employee’s anxiety by providing them answers of what happens next.  Reach out to HR, your legal department, and any other senior leaders who might be able to help you prepare answers to questions such as: When will I receive my last salary? and Am I receiving an unemployment benefit?

Communicate Openly and Often

Be honest. Transparent, open and timely communication help increase employee trust instead of them being blindsided. Companies should organise constant meetings in order to hand out valuable information and address any existing concerns. Due to the pandemic, organisations should use online video conference apps such as Google Hangouts, Zoom, Maestro or Tele-Town Hall. While employees have the option to call in or attend without video, leaders are recommended that they keep their cameras turned on. It helps create a more human experience.

Communication during a crisis should never be spontaneous and should always have a plan. In fact, it’s crucial that everyone, from leadership to management, is on the same page and wants the same things. Otherwise, employees will receive paradoxical information that can lead to distrust and rumours. Leadership should take the time to explain how the business is currently being impacted, what changes are there to be made and why. When employees understand the why behind the decision it increases their trust in the company and doesn’t take a toll on their self-confidence or increase their anxiety levels.

The worst possible thing imaginable that an organisation can do is blindside their workers and conduct layoffs through email. If in-person isn’t possible, given the social distancing requirements we all have to follow, employers should opt for video calls instead. Furthermore, they should be proactive in providing their now ex-workers with options for them to move forward such as unemployment benefits, a severance package or other benefits. This helps put employees’ minds at ease regarding survival and the next few steps.

Lead through Empathy

This is a sensitive time for many. While it is understandable to protect the company, the layoff process usually lacks the empathy and compassion needed during a stressful time.

Therefore, employers should lead with empathy when laying off their workers. Employees will remember how they’re treated during this time. If they’re treated poorly, they’re more than likely going to speak poorly to their network and through online reviews about the company and their experience. Consequently, when business picks back up again and the company is hiring, they’ll struggle to win over quality talent due to a damaged reputation.

Be direct and human

The message you present to them must be crystal clear and concise. For example: “I’m sorry, but at end of the month we are going to terminate your job.” By communicating this information directly, it may come off as a tad cold but it actually allows the employee to have a grasp of the whole new situation he or she is in. It is vital that you express your recognition for all of their hard work and dedication. Afterwards, explain to them that they are being laid off due to the exceptional economic climate we are all in and that it has nothing to do with their job performance. It’s important that at the end of the discussion your future ex-employee feels appreciated and loved.  

Focus on your wellbeing

Last but not least important, take care of yourself. If lucky, this is the only time managers will have to face something of this magnitude. However, it is highly unlikely it will be the only time managers deal with a challenge during a period of great uncertainty. Although it may sound like a truism, the best coping mechanism there is when things are uncertain is self-care. Try and eat as healthy as possible, exercise regularly, try meditation or yoga, get a good night’s sleep and read a good book in your spare time, do not change the screen from your laptop to your phone, disconnect. We are all together in this situation, nobody is alone. The problem here is to make people understand that they are not alone whatever their specific circumstances are.

How can Great People Inside help you assess your ‘remote working’ workforce?

Given our current situation knowing that your colleagues or employees are best suited for this new scenario we find ourselves in. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It is now important to find out whether your managers or your team is well-equipped of working together from various locations. It requires deep knowledge of their personalities, strengths, weaknesses, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you discover if your people are resilient during times of hardship, if they are autonomous, if they are team players, without actual human contact. Given that our platform is cloud-based, everyone can use it from home as well. Humanity finds itself at a crossroad for various reasons now, why not help people discover and develop themselves from the comfort of their own homes?

Request a free demo:

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Sources:

https://www.prnewsonline.com/layoffs-pandemic-tips
https://www.forbes.com/sites/heidilynnekurter/2020/03/31/3-ways-to-layoff-employees-with-dignity-during-a-crisis/#7b762a252f7f
https://www.inc.com/jessica-stillman/how-to-lay-off-employees-with-empathy-decency-during-a-pandemic.html

Coronavirus Is Questioning Companies’ Corporate Social Responsibility Resolve

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As society struggles with the profound impact of coronavirus, corporations have a responsibility to step up and help support the government in taking action. As the department within companies which has direct relationships with non-profit organisations and the communities they are part of, Corporate Social Responsibility (CSR) professionals should be on the front lines helping with funding and solutions of any kind.

The way large companies are responding to this crisis represents a defining moment that will be remembered for years to come. For example, 38 years ago in Chicago, 7 people died from taking poisoned Tylenol pills. It was a rare and localised crisis, but Johnson & Johnson took the decision to pull all the Tylenol from every store, taking a huge loss in order to avoid even a single additional death. People still talk about that decision. People who weren’t even born at the time are still studying that case in business schools.

A great many corporations talk about having a social purpose and set of principles and values, or about how much they care for their employees and other stakeholders. Now is the time for them to make good on their commitments. Research suggests that people only truly believe that their company has a purpose and clear values when they see their leaders making a decision that sacrifices short-term profitability for the sake of complying to those values.

Another example of positive action is represented by the U.S.A. drugstore chain CVS which chose to go more deeply into health care and decided that it could no longer sell tobacco products and by doing so giving up $2 billion in revenue.

It is completely understandable that corporate leaders face pressure from investors and bankers to conserve cash and reduce losses, but neither of these categories are going hungry. Even retirees, who have seen their savings depleted, can expect to see stocks recover as long as they don’t sell during this initial panic time. Companies cover up the costs of restructuring, product failures, or acquisitions that go wrong all the time. It will be more than understandable if someone writes off their losses due to the coronavirus pandemic. Here are some things that companies can do to help their employees, small suppliers, health care providers, and communities.

Employees

What companies do to help their laid-off employees — above and beyond what is required or expected — will be remembered and repaid in increased loyalty, higher productivity, and a lasting reputational benefit for many years to come.

Continuing to pay wages, even at less than full pay, is one option. For this scenario we have Walmart, Microsoft, Apple and Lyft who have all made commitments to continue payments to hourly workers for at least the first two weeks of lockdown. This is essential not only as a matter of corporate responsibility; it will also substantially reduce the costs of rehiring employees when the economy returns to normal.

Lending money to employees is another option. Left on their own, many employees will turn to the exorbitant charges of credit card debt and payday lenders who will charge a 20%-plus interest rate at a time when corporations can borrow at 2% or 3%. That difference in interest rates can be the difference between bankruptcy and economic survival. Corporations should use their corporate credit and collateral to arrange low or no-interest loans to their employees. They should calculate employees’ take-home pay after payroll deductions, and ask their banks to make loans available equal to a month of net wages at 3% interest, guaranteed by the corporation. Employees could therefore pay the loans back over the next year out of their salaries when they return to work.

Medical Staff

Some parts of the world face severe shortages in basic medical supplies, but as a global company you have access to resources everywhere. The need for masks in China and South Korea has decreased considerably while it is on a upward trajectory in the United States and Europe. Companies should purchase and ship supplies from where they are available to where they are needed. They should look into their inventory of whatever they have that might help, send it where it will do the most good, and take the loss.

Encouraging mental wellness

Many companies, as well as state and local governments, recommend that those who can work from home do so. In addition, the Center for Disease Control in the United States recommends that all gatherings and events of more than 50 people be cancelled for the next eight weeks. This “social distancing” is vital to reducing the spread of the coronavirus but negatively impacts emotional well-being.

Thus, leading corporations are supporting mental as well as physical health. For example, Starbucks just announced it will expand mental health benefits to include up to 20 therapy sessions for all employees. Elsewhere, telecommunication companies have signed the ‘Keep Americans Connected’ pledge to make sure that individuals maintain access to connectivity.

Supporting small businesses

According to the Wall Street Journal, small businesses’ confidence has plummeted as a result of the Covid-19 pandemic. Some large corporations are stepping in to support small and medium companies during this difficult time:

  • Amazon announced a $5 million relief fund for small businesses in the vicinity of its headquarters;
  • Google is offering $1 million to organisations in Mountain View, California, impacted by the pandemic;
  • Billionaire Mark Cuban has been reimbursing employees who purchase lunch and coffee from local restaurants.

Although the ramifications of the Covid-19 impact have yet to be determined, it will continue to disrupt our now old way of living for the next few weeks and months. The corporate sector can help during this crisis by implementing strategies and initiatives that benefit society – as well as their long-term success – by supporting their employees, customers and the economy at large.

No one expects or requires major companies to take extraordinary measures to help their many stakeholders, but if they choose to take bold and creative steps now in order to deliver immediate support then that will define their future legacy.

How can Great People Inside help you assess your ‘remote working’ workforce?

Given our current situation knowing that your colleagues or employees are best suited for this new scenario we find ourselves in. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It is now important to find out whether your managers or your team is well-equipped of working together from various locations. It requires deep knowledge of their personalities, strengths, weaknesses, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you discover if your people are resilient during times of hardship, if they are autonomous, if they are team players, without actual human contact. Given that our platform is cloud-based, everyone can use it from home as well. Humanity finds itself at a crossroad for various reasons now, why not help people discover and develop themselves from the comfort of their own homes?

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Sources:

https://www.csomagazine.com/csr/coronavirus-crucial-csr-issue
https://www.weforum.org/agenda/2020/03/coronavirus-and-corporate-social-innovation/
https://www.forbes.com/sites/afdhelaziz/2020/03/19/the-power-of-purpose-how-csr-should-be-acting-like-first-responders-to-tackle-coronavirus/#6c912c606dd3