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Small firms 'need to be honest and open' with employees

man and woman talkingSmall companies should be honest and open with their workers in order to enhance relationships with staff, it has been suggested.

Small firms need to base their relationships with workers around good communication in order to enhance the employee-employer relationship and establish trust, an industry expert has suggested.

Corinne Mills, human resources advisor at online recruitment portal Monster, uses the example of staff Christmas parties in the current economic climate to make her point.

She explains such festivities do not have to be lavish or expensive, stating opulent celebrations could seem "inappropriate" this year.

"It goes back to good communication throughout the year. If you're upfront and honest with your staff and they're given clear messages then they're more likely to trust you," Ms Mills adds.

Continuing, she suggests that if a small firm has not treated its employees well - or have already had people leave the company through redundancies as a result of the ongoing effects of the credit crunch - it will struggle to get people into the festive spirit with the firm.

The Monster representative explains that given the current turbulence in the financial markets, 2008 presents a challenge to small firms, adding that they need to be upfront and honest with staff as much as possible in order to show they care.

She also suggests that, should the worst comes to the worst, companies can do their best to help people find their next role.

"You can never promise somebody a job, you can never guarantee that somebody's going to be safe, but if people feel like 'yes, it's a difficult time, but they will be straight with me' then people will be much more relaxed at the Christmas party," Ms Mills concludes.

A poll released by Monster earlier this month suggested 90 per cent of workers would prefer money to a Christmas party.

  • Read more about how nurturing talent amongst your employees will give you real business benefits - helping you through the current economic climate.
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