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19 December 2008

Using the crisis as an excuse

A fusion of Flanders’ quality newspapers is something I proclaimed would happen, more than once in a previous life.  My point of view, but not only mine, is that the Flemish-speaking population is too small for three similar newspapers and that sooner or later a move towards consolidation would take place. This is the case both for newspapers as well as for a handful of companies in other sectors. The recent wave of layoffs in the written media sector confirms my supposition and moreover dares me to suspect a planned cleanup operation masquerading under the pretence of crisis. In a recent article in the Dutch magazine Tijdschrift voor Marketing, it seems that University of Ghent media professor Karin Raeymaeckers is of the same opinion in the newspaper De Tijd. She also does not believe times are thus hard at some newspapers that up to a quarter of all journalists have to be made redundant. ‘Major press firms no longer want three editors for three titles. We are moving towards a situation where one editor delivers articles for three brands of newspaper,’ she predicts.  

Believe me, in cases like these, being right is not all that pleasant. It is not my place to point the finger or accuse whatever party involved, but we all know it is not the first time economic crisis has been used to justify the replacement of cumbersome or expensive elements with cheaper, younger labour.  

Reading it as plainly as this will perhaps leave you struck by the harshness of reality but in situations like these, being naïve is misplaced. It is a fact of life that our economy runs on supply and demand. Nevertheless there is something like durable management; or is that another concept for the ‘recession-time-refrigerator’? During our last HR-Gallery in Mechelen, December 8th, Jan Maarten Willems, Finance Director of Netlog, suggested that far too little companies actually utilise trial periods what they are intended for, i.e. testing the capabilities of new employees. Most companies automatically offer new employees a permanent contract at the end of their trail period without any proof of their actual qualities. It is not surprising this kind of sluggishness often leads to frustration in the long run or perhaps even abrupt layoffs in worst case scenarios. The result being frustrated, angry employees, dissatisfied trade unions, and a whole lot of expensive effort to get everyone’s nose pointing in the same direction once more.  

Durable human resource management implies a long term vision with short term goals. Do we permanently know whether or not the talent we have recruited pays off? Do we check up on our colleagues’ enthusiasm? Do we provide enough information on what we do? Is everyone in some way or other involved in company goals?  

The crisis puts a number of paradigms to the test but demographic data don’t change. The ageing of the population is starting to show its teeth, the war for talent is roaring and every crisis seems to refuel easily enough. With all due respect for those of us who do make rational decisions, I ask everyone else to handle durably and carefully with any talent there might be. This also goes for companies.  

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