Deciding to file for bankruptcy is never an easy decision. Even if you know your company has been struggling mightily for some time, it can still be a heart-wrenching decision. Not only do you have to deal with the stress and emotions of the bankruptcy, you also have to prepare your employees for what's to come in Tampa, Florida. Here are some tips on what you should tell them.
Never jump the gun when it comes to bankruptcy filings. You don't want to perpetuate rumors or even start them if your company winds up not filing. Wait until the bankruptcy has been filed to make the formal announcement to your employees. You need to do this in a written statement that provides employees with a lot of important information.
Be entirely honest with your employees. Do not try to hide information. Be open about the plan for recovery too. Make sure the employees know that the company's assets are not being liquidated, but that it's a natural business process that the company must endure in order to become stronger.
Promise employees that there will continue to be an open line of communication between ownership and every single member of the team. Also let them know of any future updates as soon as you obtain the information. These information can be distributed during staff meetings, via memos or interoffice emails.
Telling your employees that the company will file for bankruptcy is never easy. They will have a ton of questions, emotions and feelings of disappointment. Follow the tips outlined in this post to make the process a little bit easier for all involved.