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Practices fail to consult staff about recession-beating plans

13 Jan 2009, Kevin Reed, AccountancyAge

http://www.accountancyage.com/aa/news/1777819/practices-fail-consult-staff-recession-beating-plans

Four out of five practices have come up with strategies to deal with the downturn but have failed to consult staff on formulating their plans, according to a survey by Kato Consultancy.

The practice consultancy found that 84% of the 200 firms in its survey had not consulted staff when putting together a strategy to deal with the economic crisis.

Yet the firms expect to increase the effectiveness of partners and staff as one way to see through the crisis.

'Despite the fact that increases in speed and efficiency of work feature strongly in the majority of these strategies, the staff who will bear the brunt of the work required for implementation have not been consulted,' Kato stated in its survey results.

Only 22% of those firms expect staff will perform effectively in the current crisis.

Two-thirds expect to see turnover decline compared to the previous year, and 55% expect to reduce employee numbers through a recruitment freeze or redundancy.

Four in ten respondents expect clients to ask for extended credit.

Further reading:

Visit the blog of Kato's Phil Shohet

Visit Best Practice

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