Lifescripts, 3rd Edition

73Cutting an Individual Direct Report's Pay

STRATEGY

Here's one of the more difficult workplace dialogues in this book. Reducing salary is a tough thing to do. There's bound to be a great deal of anger on the part of the employee so don't be glib or try to put too positive a spin on the situation. The great danger here is that the employee will take it as a sign they aren't appreciated and will look elsewhere for a job. That's why it's essential you do everything you can to impress on them that you'd like to keep them. But at the same time, you can't pull any punches. Don't imply it's only temporary if you know it's intended to be permanent, and don't promise to make it up to them in other areas if you can't. One secret is to go to the employee's office, rather than having them come to yours. That reduces some of the fear and also puts you more in the role of supplicant. Normally that's not appropriate, but in this case, you are a supplicant. You're asking them to stick around even though you're cutting their pay.

TACTICS

• Attitude: Accept that you're asking the employee to give up a great deal and a bit of fear and anger on their part is justifiable.
• Preparation: Make sure you understand the organization's rationale for the pay cut and can explain it succinctly. It's essential you use the same explanation with every person you speak with—mixed messages will imply a hidden agenda and that will destroy the already battered morale.

• Timing: Present the news as soon as you ...