Improving staff morale

By LBV

27 Sep 2010

Many businesses have gone through, or are still experiencing, a period of job cuts and those more fortunate are perhaps, at best, looking at zero to one per cent pay increases for staff in the short term.

For businesses to survive in these times it is vital to engage people and bolster morale. Without the commitment of staff, businesses stand little chance of recovering quickly.

So what measures may help?

1. Communication: Keep your staff up-to-date with how the business is performing; help them to understand the pressures facing the business and the part they can play in supporting you through difficult times. Failing to communicate effectively with your staff can promote rumours and unnecessary insecurities which in turn creates turnover (generally your most talented employees) and stress. Be honest and be honest frequently!

2. Review benefits: Consider if you are providing benefits in the most tax efficient manner for both the business and the employee. The implementation of a salary sacrifice scheme, for example, can provide significant savings elsewhere, such as in increased pension contributions and childcare vouchers. Other options providing increased flexibility and work/life balance opportunities include giving staff the option to buy or sell holidays.

3. Review remuneration: In the absence of any pay increase consider a discretionary bonus scheme based on financial performance – this gives your staff the opportunity to earn additional pay while managing your risk efficiently. Keep it simple though.

4. Be flexible and open to ideas: Ask staff what motivates them, but be specific. An open-ended question, such as ‘what motivates you?’, may be met with a blank stare. Instead ask employees to rate different aspects of their job, such as teamwork, variety and autonomy, and concentrate your efforts on what they rate highly. Listen to what they say and provide feedback. Remember money is only one piece of the jigsaw

5. Empower staff: Sharing issues with your staff and encouraging them to provide solutions can be motivating and encourages ownership over any changes that may be required.

6. Celebrate success and effort: When times are difficult it is easy to focus on things that are not working and not see the good work being done by staff. Recognising good work, and giving praise where due, costs the business nothing.

Tina Clayton
HR consultant
Moore and Smalley Chartered Accountants and Business Advisors

Enjoyed this? Read more from LBV

Latest news

1

REVEALED: Sub36 Awards winners 2026 S36 Winners

REVEALED: Sub36 Awards winners 2026

16 Oct 2026

2

Three in a row for Lancaster accountants at national awards The Team At Ics Celebrating Their Win

Three in a row for Lancaster accountants at national awards

15 Oct 2026

3

Victorian Plumbing records 11 per cent revenue increase Victorian Plumbing staff

Victorian Plumbing records 11 per cent revenue increase

15 Oct 2026

4

Preparation matters for MTD changes Bilal Piperdy

Preparation matters for MTD changes

15 Oct 2026

5

Training for scheme to boost number of women in technology Aerial photo of Lancaster University Campus

Training for scheme to boost number of women in technology

15 Oct 2026

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
LBV131 November/December Magazine Networking Event
LBV131 Magazine Launch Social720No Text 19 Nov 2026

LBV131 November/December Magazine Networking Event

The Landmark, School Lane, Burnley, BB11 1UF

08:30 - 10:30

Lancashire Business Day 2026
LBD26 WW Logo720 27 Nov 2026

Lancashire Business Day 2026

Burnley Football Club, BB10 4BX

12:00 - 17:00

Help to Grow: Management Course
Help To Grow 25 Sep 2026 - 15 Dec 2026

Help to Grow: Management Course

University of Lancashire, Preston, PR1 2HE

09:30 - 12:00

St Catherine's Skydive, October
Skydive 17 Oct 2026

St Catherine's Skydive, October

Black Knight Parachute Centre, Lancaster, LA2 0DY

09:00 - 17:00

Commercial Planning Application workshop
Commercial Planning Workshop 20 Oct 2026

Commercial Planning Application workshop

Online, Accrington , BB5 0PF

12:00 - 13:00

They’ve Already Decided About You – Sales Geek Sales Club: how buyers judge you before you speak – and what to do about it
Lancaster And Morecambe Logo 1 21 Oct 2026

They’ve Already Decided About You – Sales Geek Sales Club: how buyers judge you before you speak – and what to do about it

Lancaster & Morecambe College, Lancaster, LA1 2TZ

08:00 - 10:00

Mock Tribunal - step inside an employment tribunal… without the risk
LBV Website Events GraphicMock Tribunal 21 Oct 2026

Mock Tribunal - step inside an employment tribunal… without the risk

Online, Preston, PR1 3JD

09:30 - 12:30

Preston Freelancer Meet-Up: October
Freelance Meet Up 22 Oct 2026

Preston Freelancer Meet-Up: October

Society1, 9-10 Cross Street, Preston, PR1 3LT

10:00 - 12:00

Girlie Night Out
Lancaster And Morecambe Logo 1 23 Oct 2026

Girlie Night Out

Lancaster Brewery, Lancaster, LA1 3LA

19:00 - 23:00

North West Business Expo
LBV Website Events GraphicBusiness Expo 1 23 Oct 2026

North West Business Expo

Toughsheet Stadium , Bolton, BL6 6JW

09:00 - 15:00

The PM+M Autumn Budget seminar - East Lancashire
Autumn Budget 2026 LBV 29 Oct 2026

The PM+M Autumn Budget seminar - East Lancashire

Blackburn Rovers Football Club (Premier Suite), Blackburn, BB2 4JF

08:00 - 10:30

Lancashire Finance Leaders Forum: The Autumn Budget in Focus
ian-UmTFcwHLPC0-unsplash.jpg.jpg 29 Oct 2026

Lancashire Finance Leaders Forum: The Autumn Budget in Focus

Farington Lodge Hotel, Stanifield Lane, PR25 4QR

08:00 - 10:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV130 Online GraphicWebsite
Subscribe now

Weekly news bulletin