Capital Management is in a budget crunch and plans to make major layoffs next month.What is the best advice for communicating this crisis to employees?
A) Because the grapevine is so effective, use this tool to get word out to all employees quickly.
B) Deliver the bad news to employees personally if possible.
C) To be upfront about what is going on, announce the bad news in the first sentence of an e-mail message.
D) Let employees learn about the layoffs in the local newspaper.

Question

Quizplus · Accepted Answer

Delivering the bad news to employees personally, if possible, is the best way to show empathy and respect for their contributions to the company. This will also provide an opportunity for employees to ask questions and get clarification on the situation. Using impersonal methods such as e-mail or local newspapers can be perceived as insensitive and may diminish employee morale and trust in the company. Using the grapevine as a primary communication tool is also not recommended as it can create confusion and misinformation.

Capital Management Is in a Budget Crunch and Plans to Make