Soft Skills That Shield You: Employee Morale As A Legal Risk Strategy

Cultivating a culture of compliance

Management styles and philosophies vary as vastly as the personalities of those managing. Some managers may focus on maintaining a happy workforce and fostering longevity/loyalty by employees. Other managers are focused on enforcing work rules/standards and holding employees accountable for adherence. 

But these two approaches do not have to be at odds with each other. In fact, compliant practices and employee morale can be fortunate byproducts of each other, and the most effective managers are able to achieve a synergy between them. Here are some key effective management characteristics and how each enhances employee morale while also reinforcing a compliant culture. The ultimate result is reducing the risk of legal claims and losses. 
 

 

• Consistently Upholding Rules/Standards
  • Morale booster: Holding employees to work standards and enforcing workplace rules may seem like an employee morale killer when, in fact, one of the biggest sources of frustration for good employees is seeing the employer failing to hold their co-workers accountable. For example, if management is lax towards employees who are habitually tardy for work, this erodes the morale of employees who arrive on time every day. Consistent enforcement of the rules creates a sense of predictability, structure and fairness, which fosters positive employee morale. 
  • Compliance/risk management: Inconsistent application of rules creates serious legal risk and can form the basis for discrimination and retaliation claims. Also, failing to consistently follow certain established rules or policies compromises the employer’s ability to enforce other rules and policies and creates the appearance that the employer does not take compliance seriously.

 

• Regular and Quality Communication
  • Morale booster: Ongoing communication between management and workers regarding job expectations, feedback/guidance, and employee complaints/grievances creates a sense of connection that engages and motivates employees. Management engagement shows the employees that they are valued and worth the manager’s time and effort to stop and talk with them. 

Furthermore, communication is essential as a manager cannot address an employee’s concern or remedy a problem unless they are aware that the issue exists. These communication opportunities should not be limited to just the manager and direct report employees. Rather, the employer should provide multiple avenues for employees to bring questions, concerns or complaints in the event the employee does not feel comfortable bringing the issue directly to their manager. 

Employer “hotlines” or services providing intake of employee concerns (including an option to raise issues anonymously) are a valuable layer of connectedness for employees on an enterprise level. Most managers like to tout that they have an “open door policy,” but maintaining meaningful and regular communication with employees takes time and effort and is often outside the manager’s comfort level. As such, at a minimum, opportunities for one-on-one communications with subordinates should be built into management’s regular process, including through performance evaluation/feedback sessions and/or employee engagement events.
 
As for written communications, employers have a legal obligation to adequately communicate many key policies and disclosures to employees, including policies and notices regarding harassment/discrimination, certain employee benefits, safety issues, and other required notices that vary by jurisdiction. In addition, documenting communications with employees about job performance and the consequences of failing to meet expectations assists the employer in defending against claims of wrongful termination and discrimination.
 

• Sensitivity to the Employee’s Experience 
  • Morale booster: Sensitivity about the feelings and mindsets of subordinates may be perceived as just a “soft skill” that is not serious business, but it is simply a good business practice for managers to be in touch and in tune with the needs, strengths, weaknesses and feelings of their subordinates. Of course, managers should maintain an appropriate professional distance and level of objectivity in dealing with subordinates. 

However, managers should try to view their subordinates as individuals who have lives, challenges and personalities apart from work. Showing interest in an employee’s passions outside of work or acknowledging an employee’s contributions and achievements at work provides a boost to employee engagement. Also, gaining an understanding of an employee’s feelings and mindset equips the manager with valuable information on how to more effectively motivate and guide the employee because each employee has their own unique disposition.

What does sensitivity have to do with compliance and risk management? This is a powerful yet often overlooked reality of risk management in the HR context. “People skills,” including using active listening and showing empathy, are one of the most effective elixirs to reduce the risk of employment litigation. Indeed, many employment claims are fueled not by the employer’s failure to follow the law but by the employee’s sense of bitterness and vengeance from feelings that they were disrespected, slighted and not heard. Bottom line: how an employee is made to feel by management is a substantial factor in the likelihood of a legal claim.
 

• Humility
  • Morale booster: A manager who can openly acknowledge their own shortcomings and even apologize for mistakes in front of subordinates gains credibility in doing so. It is a sign of strength. A manager with integrity and who is secure with themselves can openly acknowledge their mistakes, and doing so should garner respect from subordinates. 
  • Compliance/risk management: A manager’s ability to effectively correct or control risks in their department starts with the ability to critically and objectively evaluate their own shortcomings. Arrogance and superiority will obscure a manager’s objectivity in this regard, and impair their ability to improve working conditions. Compliance is achieved through learning and improving, and self-awareness is critical in evaluating what changes are needed to achieve that goal.

Management practices that are the cornerstones of a compliant culture and risk avoidance, such as the ability to objectively evaluate and correct, meaningful connection and communication with subordinates, and consistent enforcement of rules, are also the foundation for good employee morale. As such, management does not have to choose between risk management and happy employees—they are inextricably linked. Human resource professionals are an essential part of reinforcing and supporting these practices within the organization.

Jennifer Woo Burns is an Employment Law Attorney at Scali Rasmussen.