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Posted on July 25, 2001July 10, 2018

TPA Offers Sage Advice

Managing health-care costs is an ongoing balancing act for Rob Hutchison, CFOof ISEC Inc., a construction company in Englewood, Colorado. Not only is he vyingfor valuable employees in a tight labor market, every dollar the company paysfor insurance affects its ability to bid for jobs at a competitive rate. “Whenhealth-care costs go up, the cost of our labor increases.”

MediumCompany
Name: ISECInc.
Location: Englewood,Colorado
Business: constructionservices
Employees: 700

    ISEC has been self-insured for 10 years through a preferredprovider organization (PPO), and shares the costs with employees, who pick upabout 40 percent of the tab. “There’s no exact science to this,” hesays. “It’s the right thing to do to absorb costs and provide the bestbenefits to employees, but the market is hardening and costs went up significantlythis year.” ISEC was forced to raise employee rates by 11 percent, whileits costs went up 20 percent this year. Typically, employees’ rates go up 3to 4 percent annually, he says.


    Besides cost sharing, Hutchison is always searching for ways to stem increaseswithout reducing benefits, and he relies heavily on his third-party administratorto help him make those decisions. “Our broker and TPA provide lots of informationto help us control costs,” he says. “They are invaluable in makingrecommendations and analyzing cost savings.” He meets monthly with hisTPA to discuss how ISEC’s claim rates compare to industry standards, and whatchanges he can make to improve them.


    On advice from his TPA, last year the company switched medical providers, cuttinglarge hospital and doctor bills by 15 to 20 percent, he estimates. The previousprovider had used several plans to cover all of ISEC’s employee locations, whereasthe new plan has total coverage in all areas, which means lower rates.


    It’s the first time ISEC has switched providers since becoming self-insured,but Hutchison says the change was painless. Before making the transition, hesurveyed employees to make sure all of their doctors were in the plan. Someof the 20 doctors not covered were added, and only a few employees had to makeother arrangements. “It was a non-event,” he says, adding that hewould urge caution before making such radical changes too frequently. “Itcreates uncertainty in employees.”


    Giving employees financial incentives to use generic drugs has also been acost-management technique. Offering a mail-order prescription program is another.


    For the future, Hutchison is exploring ways of using online benefits servicesto eliminate paper costs and trim the HR workload so that, as the company grows,he won’t have to add more HR personnel. And he’s considering offering an optionalcatastrophic health plan with a low premium but high deductible. “It’sappealing for younger employees who don’t use their medical insurance much.”


    Finally, his TPA suggested renegotiating the reinsurance package in June insteadof January to take advantage of a lull in the market. “In January everyoneis re-evaluating their health coverage and the reinsurers are less likely tonegotiate,” he says. “But in June they’ll be looking for business.”


Workforce,August 2001, pp. 80-82 — SubscribeNow!

Posted on July 25, 2001July 10, 2018

International Needs Assessment

D

ear Transferee:


Thank you so much for taking the time to fill out this Needs Assessment form. The information you share with us will help us to better assist you. Your relocation counselor will phone you for further discussion after reading your responses.


CompanyName:   ______________________
   
CompanyAddress: ______________________
______________________
______________________
______________________
______________________
   
OfficePhone: ______________________
   
MobilePhone: ______________________
   
HomePhone: ______________________
   
NewCompany Address: ______________________
______________________
______________________
______________________
______________________
 
  1. Please list any pertinent travel information:

  2. Do you have a passport: ______

  3. Do all accompanying family members have passports: ______

  4. If yes, please provide expiration dates:

  5. Do you have a driving license from any of the following (please circleall that apply):

    • United States
    • International
    • Home Country
  6. Are you planning to rent, lease, or buy a vehicle during your stay:______

  7. Are you bringing any family pets with you: ______

  8. What is your anticipated move date: ______

OrientationTrip
Dates:   _____________
 
FlightNumber:   _____________
 
DepartureCity:   _____________
 
DepartureTime:   _____________
 
ArrivalCity:   _____________
 
ArrivalTime:   _____________
 
ArrivalAirport:   _____________
 

Where will you bestaying during your trip (name/address of hotel):


 


 

Housing

  1. What type of permanenthousing are you interested in finding (circle all that apply):

    • House
    • Apartment
    • Duplex/Townhouse
  2. How many bedrooms/bathroomswill you need: bedrooms ___ bathrooms ___

  3. Will you be bringingfurniture, or will you be renting: ______

  4. Do you preferto live in a city, or suburban environment: ______

  5. How far are youwilling to commute: ______

  6. How far are youwilling to travel for shopping, sporting/cultural events, etc: ______

Transferee

  1. Would you like us to research any activities for you?

  2. Are any of your family members having difficulty adjusting to relocation?If so, bringing this to our attention will make it possible for usto make suggestions that might help: ______

  3. Do you or any of your family members have special medical circumstances:

  4. If so, are there facilities and/or services you would like us toresearch for you: ______

Spouse/Partner

  1. Will you be seeking employment: ______

  2. If so, what is your occupation: ______

  3. Do you have a work visa, or will you need to be sponsored: ______

  4. Are you interested in volunteer or continuing studies programs: ______

  5. Would you be interested in joining expatriate groups or other typesof organizations: ______

  6. Would you like us to research any sports or activities:

Children

Child’sName:
 
Gender:
 
Age/Dateof Birth:
 
Levelof Education:
 

  1. Do your children speak English:______

  2. Please describe any language needs your children might have:

  3. What type of schooling situations can we research for you:

  4. Please describe any special educational needs your children mighthave:

  5. Will you need information regarding day care and/or in-home childcareoptions: ______

  6. What sports or activities can we research for your children? Pleaseinclude skill level where necessary:

Please discuss anyadditional matters you would like to make us aware of:


 


 


 

Soruce:Cornerstone Relocation Group

Posted on July 25, 2001July 10, 2018

Employees Feeling Brunt of Health-Care Increases

IOMA’s 2001 Managing Benefits Plans Cost Control Survey of benefits professoinalsshows that the most popular strategy in the face of rising health-care premiumsis still sharing costs with the employees. While most companies use a varietyof techniques to manage costs, 51.7 percent said cost sharing was the most successfuloption. The survey, which is conducted annually, includes responses from morethan 200 participants at primarily small and mid-sized companies nationwide.More results from that report are listed below:


Most Successful Cost-ControlStrategy

GrandTotal

Upto 500
employees

Over500
employees

  • Increased costsharing by employees:
51.7%
44.9%
57.9%
  • Adopted a mail-orderprescription drug program:
22.0%
22.4%
21.5%
  • Set up flexiblespending accounts:
20.0%
26.5%
14.0%
  • Shopped for atraditional plan with managed care or PPO:
20.0%
20.4%
19.6%
  • Self-insured:
17.6%
15.3%
19.6%
  • Added voluntarybenefits options:
15.1%
16.3%
14.0%
  • Automated yourbenefits functions:
13.2%
4.1%
21.5%
  • Started a wellnessprogram:
10.2%
11.2%
9.3%
  • Offered a cafeteria-styleflexible benefits plan:
7.3%
11.2%
3.7%
  • Added a POS (point-of-service)plan:
7.3%
8.2%
6.5%
  • Replaced yourtraditional plan with an HMO:
6.8%
8.2%
5.6%
  • Cut benefit offerings:
6.3%
6.1%
6.5%
  • Replaced a definedbenefit plan with 401(k):
5.9%
7.1%
4.7%
  • Instituted a managedmental health care program:
4.9%
4.1%
5.6%
  • Purchased healthinsurance through business group/coalition:
5.9%
7.1%
4.7%
  • Used carve-outmental health and drug dependency care:
1.0%
0.0%
1.9%
  • Eliminated mentalhealth and drug dependency care:
0.5%
0.0%
0.9%
  • Directly contractedwith area hospitals:
0.0%
0.0%
0.0%
  • Other:
22.0%
17.3%
26.2%
Posted on July 24, 2001July 10, 2018

Hiring from Columbus, Prague, and Warsaw

Only 325 employees work year-round at Cedar Fair’s flagship park, Cedar Point, which becomes a ghost town of dinosaur-like metal skeletons soon after Labor Day. “The creature is brought back to life every April,” says Katja Rall-Koepke, the park’s director of human resources. Cedar Fair is the nation’s fifth-largest amusement park operator, which last year attracted 11.7 million guests to its nine parks in five states.

LargeCompany
Name: CedarFair, L.P.
Location: Sandusky,Ohio
Business: Amusementparks
Employees: 6,000

Every year, 6,000 college students are hired for the summer season as ride operators, retail clerks, waiters, hotel bellboys, and campground leaders. Each one, including past employees, participates in a daylong orientation that is followed by a few hours to a few days of training in a specific job. Students earn $6.25 per hour, and can qualify for bonuses. And while even a low-level job at a Fortune 500 company could appeal to a graduating student looking for résumé-polishing prestige, few companies can lure their recruits with exclusive access to a teeth-jarring 92-mile-per-hour descent from one of the world’s tallest roller coasters. That’s one of the perks offered by Cedar Fair’s in-house recruiters.


Beginning in December, department managers visit college job fairs on 55 campuses in six states over five months. “If we had to rely on our geographic area, there’s no way we could staff the park,” Rall-Koepke says. The park also buys banner ads on college Web pages that offer employment sites.


In recent years, the park has experienced more difficulty recruiting from colleges. It’s hard to compete when even juniors are being wined and dined by prospective employers who offer generous signing bonuses for internships. Cedar Fair turned to Eastern Europe, recruiting students through an established exchange program. Only 30 students came the first year. But for the past three years, the park has hired 1,000 English-speaking students from Poland, Czechoslovakia, Russia, and Romania.


“Guests enjoy interacting with them,” Rall-Koepke says. “They have a very positive effect on our domestic kids.” The foreign students often have a stronger work ethic than their American counterparts, and are eager to work as many hours as possible. Their summer earnings often are the equivalent of their parents’ annual incomes, she says.
While park summer jobs lack traditional benefits such as health insurance, Cedar Fair provides other unusual perks. About 3,400 employees live at the park in dormitory-style housing that costs about $31 a week per person. The park began operations in the 1870s, and has offered housing since the 1920s, expanding its facilities to keep pace with its growth. To be eligible for subsidized housing, students must live more than 30 miles from the park.


During off-hours, student employees are also free to take advantage of Cedar Point’s mile-long beach and are permitted free entry into the park. After the park closes each night, one ride is kept running for the exclusive use of employees. For coaster-loving thrill-seekers, this is the ultimate perk: unlimited use and no waiting in line.


In an effort to keep student hires for as long as possible, Cedar Fair promises a bonus. If students fulfill their work agreements — generally for 10- or 12-week stints — they earn an extra dollar per hour. About a third of the park’s summer hires return the following year. The recruitment rate is best in areas such as Bowling Green and Kent State Universities, where the park is well-known. “We’ve had difficulty attracting people when McDonald’s is paying $8 or $9 an hour in Columbus,” Rall-Koepke says.


But Cedar Fair’s staffing boss expects that her job will be easier than in years past because of the economy. Many employers are revoking summer internships offered to students, she says. “I think more parents will be saying, ‘You need to work this summer.'”


Workforce, July 2001, pp. 66-67 — Subscribe Now!

Posted on July 22, 2001July 10, 2018

Dear Workforce Where Do I Begin When Formulating HR Policy?

Q

Dear Workforce:

A midsize software company has hired me as human resources manager to help formulate its policies. How and where should I start?

– HR Manager, software/systems, Ahmedabad, India.

A Dear HR in India:

HR policies, like all HR programs and processes, should be driven off of your organization’s overall HR strategic plan, and ultimately by the company’s business strategy. For example, if the company espouses a flexible work culture and allows individual managers to establish policy within their own departments, HR policies should mirror these practices.

This might result in flexible benefit offerings such as a cafeteria plan, which allows employees to choose their array of benefits from a broader menu. Therefore, the best way to go about defining HR policies and procedures is to get an understanding of the organization’s perspective on control vs. flexibility, the broader business goals and the desired role for the HR function itself. Additionally, you will want to determine the capability of managers in your organization with respect to communicating and enforcing policy. This will help you to understand whether HR will need to be a “policeman” or a strategic partner.

SOURCE: Mitch Stern, Deloitte & Touche, human capital group, Los Angeles, Calif., April 4, 2001.

LEARN MORE: “More Tips on Writing Policy Manuals“

The information contained in this article is intended to provide useful information on the topic covered, but should not be construed as legal advice or a legal opinion. Also remember that state laws may differ from the federal law.

Ask a Question
Dear Workforce Newsletter
Posted on July 19, 2001June 29, 2023

Preventing Poaching

Nancy Gilfillan, cofounder and senior vice president of human resources atComputerJobs.com, an IT employment Web site, says she was shocked to learn thatrecruiters were teaching others how to “flip” Web sites. “I thinkthat’s really on the edge of being ethical,” she says. In March, Gilfillanreacted to the situation by removing all personal contact information from her company’s Website and from ComputerJobs’ intranet, which contains information meant only forthose within the company.


    At Bell Labs, which supports Lucent Technologies with research anddevelopment, there’s no talk about changing the way business is done to thwartunderhanded recruiters. It’s the company’s belief that the only way to preventpoaching is to keep employees happy. Recent media reports say the companyexperienced a brain drain in the last year as some of their best people werelured away by recruiters.


    Bill Price, a spokesperson for Lucent who didn’t acknowledge a loss of personnel, says the company isn’ttaking any specific steps to prevent “the poaching you allude to,particularly in reference to removing online information. Bell Labs is and willremain a very open community. It is that community and open exchange thatfosters many of our market-leading innovations.”


    Every company in the industry is using aggressive tactics to recruit talentedpeople, including Lucent, Price says. Bell Labs is taking steps to retain itsbest people through the use of competitive compensation and option packages, andthe recognition and grooming of top talent.


    Brobeck, Phleger & Harrison, an international law firm based in SanFrancisco, keeps professional profiles of each attorney on the company Web site,including contact information. Abe Isenberg, executive director of the law firm,says there are no plans to hide any of that. The firm considers the information aresource for clients and potential clients — not for ambitious recruiters –althoughIsenberg acknowledges that recruiters use it.


    “With the kind of talent we want, and with our compensation at the topof the market, our people are always in demand. The only way we’re going to keepgood people is to be a good place to work.”


Workforce, May 2001, p. 33— Subscribe Now!


Posted on July 19, 2001June 29, 2023

Internet Recruiting 101

Using the Internet to aid in recruiting isn’t new, but what is new is moresophisticated searching, the kind that allows recruiters to find résumés,employee directories, organizational charts, and personal information on the Web.These searching techniques are controversial.


They allow users access toinformation considered private by its originators, but which is — given the righttraining — accessible to the public. One company that has helped move thesetechniques from the fringe to the mainstream is AIRS — Advanced InternetRecruitment Strategy — which offers seminars to HR professionals and recruitersthat teach them how to find passive candidates hidden on the Web.


Here are some of the terms that are used to describe these power searches.AIRS claims to have coined the first three in 1997. The firm providesdefinitions:

  • X-Ray: Enables the user to find employee home pages, staff directories, andbios hidden inside a Web site. The X-Ray command is focused on the server ratherthan on external links to the site. That enables a visitor to see all pagesindexed on the search engine, regardless of where they are linked. So eventhough you don’t have a link to a particular Web page — say the employee directorypage — this technique allows you to view the page anyway.

  • Peelback: A technique that reveals additional unknown resources andcandidates. Once you find one candidate, says AIRS spokesperson Laura Whitcomb,you “can find them all.” Peelback is made possible by the structureof a URL and the fact that personal documents are usually contained within alarger folder that holds many people-related documents. By”peeling” — or going back — in the URL from the individual document to thepeople-folder, it’s possible to access lists of passive candidates.

  • Flipping: The AIRS name for this technique is FlipSearch™. Flipping isused to find Web pages that are linked to a specific site, allowing a searchwithin those links. This can be used to find people who create links from theirhome pages to their colleges, associations to which they belong, and thecompanies that employ them. Tracey Claybrooke-Friend, vice president of hiringsolutions at Peopleclick, leads seminars in the art of flipping. Herinstructions for flipping a Web site are to simply use the button on your searchengine that reads ‘Identify links to this URL.’ “

  • Domain Search: A method of finding virtual “footprints” on theWeb. For example, you can use a domain search to find people who have visitedyour competitors, who currently work for them, or who worked for them in thepast, says Claybrooke-Friend. “If your competitor is Peopleclick, you wouldtype in *@peopleclick.com using an advanced search on a public search engine. What you’re doing isasking the search engine to find everyone from Peopleclick who has left animprint — a name, a virtual business card — anywhere they have traveled on theWeb,” she says.

Workforce, May 2001, p. 32— Subscribe Now!


Posted on July 19, 2001June 29, 2023

Ten Steps for a Successful Employee-Referral Program

T

houghtfully implemented employee referral plans are excellent ways to attract the best people at the lowest cost. Consider the following guidelines when starting your own program:

  1. Start at the top: If senior management is not committed to the successof the program, it won’t work. ERPs must be clearly communicated from the topdown to make it clear that it’s everyone’s job to actively search for talent.

  2. Keep rules to a minimum: Complex submission rules, coupled withsix-month length-of-stay requirements, are the easiest way to limitparticipation in ERPs.

  3. Let everyone participate: Why exclude senior managers from referralprograms? Doesn’t it make more sense to share a $1,000 referral fee with asenior VP than to pay a contingency search firm $25,000? Also, consider allowingHR staff to participate. As long as they are not directly involved in hiring fora specific opening, why not benefit from their network of contacts?

  4. Involve and reward outsiders: Alumni are great sources for talent, asare vendors, customers, and people who have turned down offers. How about youremployees’ friends and former business associates? They can all lead to topcandidates, so it’s advisable to involve them in the program and reward them fortheir efforts. Casting the referral net a little wider can yield better results.

  5. Give VIP status to résumés: Give special, fast-track treatment torésumés referred by employees. Employee-referred candidates should be calledquickly. (Find the time to do this by following the next rule.)

  6. Let employees track progress: Let employees check the status ofreferred candidates themselves, rather than bombard the recruiter with calls ande-mails to see if a friend has been hired. Along the same lines, send employeese-mails to let them know how their referred candidates are advancing in thehiring process.

  7. Make it easy to refer: Employees should be able to look at availableopenings and “push” them out to their friends with the click of amouse. If they have to copy and paste job descriptions into an e-mail, yourreferral numbers could suffer.

  8. Promote constantly: Weekly “hot job” e-mails, combined withe-mails announcing the list of employees who have referred successfully, aregreat ways to keep ERP momentum strong. Motivate staff with company-widecongratulatory e-mails from the CEO about those who took the time to makereferrals. Posters on the refrigerator and in the bathrooms work well, too.

  9. Pay a decent bonus: These days, $1,000 is a good minimum bonus. Thebonus for top jobs, however, can go upwards of $10,000. More than $10,000 justmight be too much, as employees begin to get skeptical that the bounty will everin fact be paid.

  10. Pay it fast: When an employee is entitled to a finder’s fee, pay it ontime. Don’t force employees to follow up on fees that they have earned.

Source: Joseph Slavin, general manager, Referral Networks


Workforce, June 2001, p. 68 —  SubscribeNow!


Posted on July 15, 2001July 10, 2018

Managing the Mob

While office gossip might inflict a great deal of pain, there’s an even nastier practice that runs rampant at some companies: mobbing. Workers gang up on another employee, including a boss, in an attempt to intimidate, bully, or humiliate and force the person out — usually through scathing verbal abuse.


Whether it’s a project manager who is berated by a senior executive, or a secretary belittled for not doing her job right, mobbing can devastate lives and cause mayhem. “Coworkers, colleagues, superiors, and subordinates attack their dignity, integrity, and competence, repeatedly, over a number of weeks, months, or years. At the end, they resign — voluntarily or involuntarily — are terminated, or are forced into early retirement,” write Noa Davenport, Ruth Distler Schwartz, and Gail Pursell Elliott, co-authors of Mobbing: Emotional Abuse in the American Workplace (Civil Society Publishing, 1999).


A number of factors contribute to the problem. Frequently, “mobbing behaviors are ignored, tolerated, misinterpreted, or actually instigated by the company or the organization’s management as a deliberate strategy,” the authors say. Then there’s the fact that mobbing has not yet been identified as a workplace behavior that’s subject to action. Finally, more often than not, “the victims are worn down, feel destroyed, and exhausted. They feel incapable of defending themselves, let alone initiating legal action.”


Although there’s no single approach to coping with the problem, experts say that several strategies can help. For individuals who become the target of mobbing, written documentation can spur action on the part of the company or substantiate a legal claim. In many cases, confronting a bully in an assertive, non-combative way can help defuse the problem. If that doesn’t work, going straight to the bully’s boss and requesting a specific action — such as a transfer or a grievance hearing — can help.


At the enterprise level, human resources should take a strong stand against mobbing. A well-crafted policy can define certain types of behavior that are unacceptable — such as “belittling, humiliating, or verbally abusing another employee.” In addition, a system for logging and reviewing complaints is essential, and those responsible for carrying on such behavior should be warned, reprimanded, or terminated.


Workforce, July 2001, p. 28 — Subscribe Now!

Posted on July 15, 2001July 10, 2018

Gossip Poisons Business — HR Can Stop It

Marie W. recalls the day she stepped into her cubicle at a major insurance companyand overheard her coworkers buzzing about her sex life over coffee and doughnuts.As the discussion about her sexual preferences seeped through the partitionwalls, she cringed and recoiled in horror. The fact that the rumor was falsecontributed to only part of her feelings of embarrassment, betrayal, and degradation.


    “It’s even worse that your character is destroyedin front of the entire company. There is no way to describe how awful it isto become the object of company ridicule. I wanted to disappear and never comeback. I felt like I was wearing a scarlet letter.”


    On that rainy November morning, the 32-year-old singlewoman realized that the gloom outside the office window was nothing comparedto how she felt inside. During the following weeks, her hurt and anger mountedand her productivity declined. Rather than denying that she was a “dyke,”as they had referred to her, she quietly shuffled papers and did the best shecould to trudge through her work and get through the day. Three months afterthe incident, she quit the job and found a place to work where she was treatedwith dignity and respect.


    Being the brunt of malicious gossip “affects yourability to land meaningful work and get a promotion,” she says. While there’sno way to completely escape cruel rumors in the workplace, “at least somecompanies nurture a functional and productive culture,” she notes. “There’snothing worse than feeling like you’re living and working in a snake pit.”


    Lies, rumors, and office gossip have always been anentrenched part of the workscape. The office water cooler has long been a placeto chitchat about the latest company news and to swap lurid tales. But in today’sincreasingly angry and malicious society, where road rage is an everyday eventand body bags invade the news, the nature and intensity of gossip have hit newlows. And, thanks to the Internet and e-mail, it’s possible to spread uglywords as fast as a nasty virus.


The Gossip Mill Wreaks Havoc
    While there’s no way to measure how common or destructiveoffice gossip is, it’s clear that it can wreak havoc in an organization,says Jane Weizmann, a senior consultant at Watson Wyatt Worldwide.


    Yet determining what’s unacceptable and tryingto establish a clear-cut policy can prove elusive. Some gossip and banter –including discussions about Hollywood celebrities or a child’s soccer league– can help employees bond and create a sense of camaraderie.


    But when the gossip mill begins to grind people upand ruin their reputations, there is both cause for concern and a real needfor the human resources professional to step in. When left to fester, gossipcan not only cause deep personal pain but also lead to turnover, conflict, andlawsuits.


    “Gossip can take on a life of its own,” saysAnnette Simmons, president of Group Process Consulting and author of ASafe Place for Dangerous Truths: Using Dialogue to Overcome Fear and Distrustat Work (AMACOM, 1999). “Some of it might only serve as backgroundnoise, but it can distract and demoralize workers.” She says that gossipoften heats up when workers are bored or lack significant information aboutmajor company events.


    Men often use gossip as a form of political control,while women employ it to make themselves look and feel important. “Whenpeople aren’t fully engaged in work, it creates a vacuum. And when theydon’t know what’s going on, especially regarding promotions and layoffs,they begin to speculate.”


Why Gossip Persists
    Cruel though it can be, gossip also serves as one ofthe most important parts of social interaction, notes Robin Dunbar, professorof psychology at the University of Liverpool and author of Grooming,Gossip, and the Evolution of Language (Harvard University Press, 1996).


    “What characterizes the social life of humansis the intense interest we show in each other’s doings,” Dunbar says.“Language…allows us to exchange information about other people, so short-circuitingthe laborious process of finding out how they behave.”


    Nowhere is this more glaring than in the workplace,where people come and go, and interpersonal interaction is often transient andsuperficial. “Not every rumor that comes out of the office gossip millhas the power to be…damaging,” says Ingrid Murro Botero, president ofMurro Consulting, Inc., a Phoenix management consulting and corporate outplacementfirm. “However, even seemingly casual remarks between coworkers can disruptan otherwise peaceful office.”


    It’s a fact that Rebecca Gushue knows all toowell. The HR generalist and compensation specialist at GENEX Services, Inc.,in Wayne, Pennsylvania, has worked with employees as well as local universitystudents to improve communication and reduce gossip. At a previous job at amanufacturing company, she says, gossip and office politics severely affectedthe work environment. “People had their reputations and their careers destroyed.Once a story channels through a few hundred people, it becomes very distorted.”


    She says that the gossip usually took two forms: relationship-orientedtalk that focused on which executives and managers were dating which employees;and office politics about who was on the verge of being promoted, fired, ortransferred. In some cases, she says, the gossip was designed to slander ordefame an individual, often for personal or political gain.


    Making matters worse, managers often looked the otherway or engaged in the gossip themselves. “Management opened itself up tosignificant liability by not dealing with the problem.”


    Left unchecked, certain kinds of office gossip canlead to serious problems. Employees who perceive that they’re working ina hostile environment might also feel that they are the subject of discrimination.Simmons says management sets the tone with its attitudes and policies, but aflood of gossip is often the result of workers who lack information and havetoo much time on their hands. “When management withholds information, itcreates a vacuum. People fill in the unknown with their assumptions, and thingsbegin to spiral down.”


Companies Where Gossip Flourishes
    Not surprisingly, certain companies are more prone togossip than others. Organizations that foster a chummy, cliquey environment– particularly where some employees feel like outsiders — can undermine relationshipsand productivity.


    So can offices or factories that pit workers againstone another — such as a unionized workplace where management and labor areoften at odds. A few years ago, Simmons visited a large manufacturing facility.She immediately encountered a level of vileness and vitriol that she found shocking.“People were saying all sorts of nasty things behind each other’sbacks.”


    When she called a meeting and asked key union and managementleaders to voice their concerns, it turned out that 31 of the 33 people in theroom didn’t like the gossip either. They wanted the two people whom theyidentified as the source of the problem to stop the character assassinations.


    Because members of the group hadn’t talked toone another about the matter before, they hadn’t realized that others sharedtheir distaste for the cutting behavior. Suddenly, the silent majority spokeup and let the loudmouths know that they wouldn’t tolerate the gossip anylonger. “It changed the entire atmosphere,” Simmons says.


Confronting the Problem
    In curbing gossip, direct confrontation is often effective.A human resources administrator for a large juvenile court system in the Midwestsays that she regularly tracks down the alleged instigator and asks if the personis the source of a rumor or gossip, and then deals with it on the spot.


    “If the person is guilty and he or she admitsit, I tell them to please stop, that it is causing too many problems. If theperson claims not to be the source, then I leave it at that. They’ve probablygotten the message anyway.”


    She notes that the system also has a broad ethics andprofessionalism policy in place that outlines appropriate behavior and actionsat work, and she uses humor, whenever possible, to diffuse confrontations andinterpersonal problems.


    Weizmann says that developing a specific policy todeal with gossip and rumors is next to impossible. Although certain commentsmight be clearly inappropriate, it’s a daunting task to determine exactlywhat is out of place and what specific action should be taken.


    Smart companies, she says, build performance-managementand performance-evaluation systems that measure the effectiveness-or ineffectiveness-ofemployees’ communication skills. If a manager isn’t equipped to dealwith an employee, then it’s probably a good idea to enlist the help ofa human resources specialist.


    Botero says that organizations should deal with rumorspromptly. The leadership should be direct but tactful. They should talk to theemployees involved individually and in a group, listen to both sides of theissue, set up one-on-one meetings between the injured party and anyone involvedin spreading the rumor, and schedule follow-up meetings for everyone involved.


    At smaller firms, she says, it’s wise to schedulea once-a-month employee meeting that allows everyone to talk about their concernsin the office. Larger companies should set up a hotline to allow employees toask about or clarify rumors as soon as they hear them.


    As we all know, all the planning and preparation inthe world cannot prevent gossip. “It is an ingrained part of our nature,”Dunbar says. He notes that photocopy machines and water coolers often serveas the foundation for a complex social network within an organization. And removingthese hubs for interaction can create an array of problems, and lead to a downturnin performance. As Simmons points out, “A certain amount of small talk– sharing small details of your life — helps people feel closer to coworkers.It is what humanizes the workplace and helps people bond.”


    Finding the right balance is the key. There inevitablywill be those who sling lies, rumors, and gossip. It’s when people arehurt and reputations are damaged that the issue can sink an organization. “Honestyand consistency in communication is the key to success,” Weizmann says.“It is essential for companies to set appropriate boundaries and a toneof mutual respect.”


Workforce, July 2001, pp. 24-28— SubscribeNow!


For more information.. .


Web Sites:

  • GroupProcess Consulting – Offers articles, tips, and more on effective communicationin the workplace.

  • Mobbingin the Workplace – An excellent article on the cause, effects, and legalramifications of mobbing.

  • Mobbing-USA.com– Provides information on emotional abuse in the workplace

Books:

  • Gromming,Gossip, and the Evolution of Language,by Robin Dunbar. Harvard University Press, 1998.

  • TheBully at Work,by Gary Namie, Ruth Namie, Ph.D. Sourcebooks Trade, 2000.

  • Mobbing:Emotional Abuse in the American Workplace,by Noa Davenport, Ruth D. Schwartz, Gail P. Elliott, Sabra Vidali, CivilSociety Publishing, 1999.

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