Employment Background Check | 8 Ways to Retain Employees After an M&A Pt. 1

Employment Background Check |  One of the major challenges during any merger or acquisition is the retention of key employees.

Often, when companies go through a merger or acquisition, the employees feel insecure about the future of their employment. The ‘fusing’ of two companies often results in the implementation of new policies, procedures and business regulations. This is what makes employees feel insecure about their jobs as they are clueless about how things will turn out inside the ‘combined entity’.

As a result, many employees flee in search of greener pastures.

Here are 8 ways you can retain your top employees after a merger or acquisition:

1. Select employees on merit

While retaining employees after acquiring a company, it is important that you make your selection based on ‘merit’ and not on the ranks. When you take over an organization, you will quickly learn that there are employees who were promoted for their loyalty to a manager or team leader – not based at all on their performance.

Therefore, you should not mistake a star employee just by their number of promotions or awards. Instead, you should take a methodical approach and choose people who stand out from others on the grounds of skills, experience and talent.

2. Build your employees’ trust (the old and new)

Keeping things simple and communicating clearly makes an employee trust you more. As an acquirer, you need to share with your new employees everything from the philosophy and goals of your company to its policy and work strategy. All these things are essential for putting across the vision of your organization and how you intend to go about running the ‘new’ business moving forward.

3. Have 1:1 communication with all your team members

Effective communication plays a crucial role in gaining the confidence of everyone in the business (both the existing team members and the new employees) and keeping their loyalty with your organization.

Understand that every employee will feel some level of insecurity when a merger or acquisition occurs. Therefore, it is important to empathize with your employees and communicate with them, on personal level, to listen to any concerns they may have about their future employment prospects. –Recruit Loop 

 

 

 

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