Does lack of transparency in a company lead to distrust among the employees?
When people notice 'changes' happening within an organization, but there is no communication about those changes, it can lead to rumors.
Transparency is not the key. Generally that sucks for workers. Fair Disclosure is optimum. Newsletters and stuff that is not a risk to insider trading problems. You just need to hold some damned hands. Sorry middle management but that is your job and it tests (YOUR) report not the companies.
It is wrong to give employees more than stockholders. Let them whine. They are employees, they should worry about getting their job done well enough to take care of those dependent, and not screw it up getting into corp bus.
An employee gets fired. Sues the corp. Emps need to know this?? Do they need to know what the corp attorney's game plan is??
Transparency to emps. Is so dead wrong for investors -- dang most the time it is illegal for trading purposes. Investigations??
LOL! If you only knew me. I am definitely not a 'hand holder'.
Yes, agreed, changes happening without communication is perplexing. At times it leads to rumors stirring the pot. Transparency to me is a funny word. With today's political climate some think that means all information must be public. That simply cannot happen all the time. At times things have to be set up and do the preparations before putting it into motion. Otherwise, there will be many hiccups in the giddy-up of things. It is like you have to tune-up the car when running sluggish before taking it for the drive. Then it is seen publicly. Or, like with family planning researching and pre-planning a vacation before announcing it.
Thanks Tim. Not everything can be public, and employees don't need full transparency.
Transparency I believe is a tricky subject. Most organisations today claim Transparency or some form of it in their core values but as much as they know it, the employee too understands that it's mere rhetoric. There can never be absolute transparency despite the organisation following the highest code of ethics. The larger and diverse the organisation the greater would be the extent of deviation.
To answer your point on distrust among employees, I guess it's imperative to understand whether any recent or upcoming developments will have a direct and substantial influence on the employees. If the answer is 'Yes' then it's up-to the organisation how effectively they drive the 'Change Management' without being fully transparent.
Change management (new leadership, restructuring, change in benefits) can definitely impact employee morale. Thanks!
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