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Keeping Morale Up During a Merger

Keeping employees engaged is very important for a company to succeed, especially when it comes to a merger. In addition to working seamlessly together, having an engaged workforce can also help boost a company’s chances of succeeding. According to a survey conducted by the Gallup organization, businesses with highly engaged workers are more likely to outperform their peers in earnings per share. Unfortunately, when a merger or acquisition occurs, employees may do the bare minimum during this period to maintain their employment.

It’s easy to understand why employees are anxious and pessimistic about their future after learning that executives in private are making the decisions affecting their livelihoods and career. Rumors about layoffs can also drive people away. Getting a merger done is never easy, especially for everyone involved. However, if the entire organization comes together, it can help improve the company’s chances of succeeding.

Align Actions with Values

A good culture can be a competitive advantage for a company, and it can be imperative that leaders reinforce it during an acquisition or merger. A company’s culture is defined by its behaviors, such as actions, decisions, and communications. HR managers should ensure that the decisions and communications related to a merger or acquisition align with the company’s values and culture. This ensures that the new and existing employees can see how the organization is behaving.

Communicate Clearly

A survey conducted by the Gallup organization revealed that employees are more likely to want more information from their leaders while, at the same time, those leaders feel that they have delivered enough. However, employees might not stay with the company if they don’t get the necessary information to feel secure in their position. For instance, top performers who potential employers have already contacted are more likely to leave if they don’t get the essential information.

To ensure that employees are informed about the possible acquisition or merger, the leaders should organize town-hall-style meetings to discuss the deal. They should also regularly communicate both good and bad news. Having the necessary information can help employees prepare for their future.

Lead with Empathy

Despite the importance of being more empathetic during a merger or acquisition, many executives are still reluctant to talk about it. HR managers should help leaders focus on the people who make the company tick and encourage them to express their concern for the welfare of their employees. Being able to motivate and retain the company’s employees even during difficult times can be done through the leadership of an empathetic leader. Their support should be provided through outplacement and coaching services.

Let Everyone Feel Involved

HR should establish multiple task forces and committees to help employees seamlessly transition into the new company. They should also encourage strong performers to get involved. Being part of a transition team can help employees develop their analytical and project management skills. It can also help them connect with their colleagues from different cultures. Participating in a transition team can help them develop their ideas and improve their skills. If their proposals are successful, they might be given additional chances after the merger.

Engaging in a merger can be very challenging for employees, especially since it involves crucial decisions affecting the company’s operations. By being open and transparent, companies can help keep their workers motivated and productive during the transition.




Originally published at


Published by viperequitypartners

At Viper Equity Partners, we’ve refined our role as Investment Banking Facilitators to stand out in the industry.We’ve worked diligently to develop the knowledge and expertise necessary to help companies across the nation just like yours. We work across numerous areas and have established relationships with Finance Partners, Banks, Equity Firms, Lawyers, and Analysts, and that list keeps growing day after day.

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