Question

What responsibility does leadership have in preparing existing employees for a merger or acquision? what is a good time to share the information with staff? please cite references if any were used.

Answer 1

Merger & acquisition are the part of corporate actions that are taken for the good of the company.

Employees sometimes are not ready for this corporate action as they are afraid of losing their jobs and salaries. They should be told about M&A in the way so that they may get motivated and accept this action. They should be told the following benefits of M&A-

1. New Managers and Supervisors- Employees should be told that they will get the opportunity to work with new managers and supervisors from whom they will learn new things and they will enjoy working with new staff rather than their previous one.
2. Financial stability- Employees should be told that new company will be more financially stable and it will get new resources, the synergy will work. Synergy is one plus one equals to eleven not two, it should be told to employees.
3. Job security and safety- Employees should be assured about job security and safety, they will get salaries on time and also the bonus so they should not worry about anything.