Overall Effects of Mergers and Acquisitions on the Morale of Your Employees

employee morale
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Mergers and acquisitions take a significant toll on the performance and morale of the employees in the respective organizations that are involved in the entire process. This is due to the cultural shifts and styles between the two organizations, and it is vital that the company resolves any issues and manages the employees effectively in order to avoid any unnecessary problems. The problem is compounded by the fact that there is increased uncertainty amongst the employees after the merger, since there is bound to be changes made in the organization and everyone will be fighting to keep their job.

It is imperative that the HR management of the organization works towards handling the employees effectively in order to create the best possible working environment for the company after the merger and acquisition. Here are some factors which should be looked at to keep the morale of the employees on a manageable level after a merger and acquisition.

Managing Stress in the Workplace

Tensions are bound to be high after the merger, since two different groups of employees will also be asked to work together, with everyone effectively on probation. This is a crucial period of time for the company, and the sudden change in working environment, combined with the increased competition for places in the company will ensure that there is a lot of stress amongst the employees. Communication is the key during this time, since it will help resolve a lot of disputes and awkward scenarios in the work place. The company should share as much information as possible with the employees and boost their confidence during this period to ensure that they get the most out of their employees.

The Fear of Losing Your Job

It is a given that when two organizations come together, there will be cost cutting measures employed by the organization which will result in hundreds of employees being laid off. This fear of losing their job is bound to affect all the employees and create a tense atmosphere in the workplace. This should be dealt with efficiently by the company as it has the tendency to break off into scuffles and fights amongst the employees who are bound to be extra competitive in order to ensure that they are not the ones facing the axe at the end of the day. The organization should work to let the employees know each other and create a relaxed working environment for everyone.

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