The Problem: The problem we are facing at work relates to the fact that the company is losing money and might be going out of business or filing for bankruptcy protection sometime in the next year. Employees have already lost their Christmas bonus, and have had their fringe benefits cut. There has been a freeze on hiring in addition to a moratorium on all promotions and pay increases including cost of living increases. Most disturbing of all for the employees, the company has already had two rounds of layoffs resulting in a reduction in staff from 160 employees to 90 workers. The employees who are left are often doing double duty, or performing tasks they have not been trained for and are therefore not qualified to do well.
When there is communication from senior management, it is often in the form of criticism for work that was not done quickly enough or for work that is not up to standard. Morale is understandably low. Almost everyone is concerned about what will happen next, and senior management has said nothing about the company's plans or its prospects for avoiding bankruptcy. Also, the company will neither confirm nor deny plans for an additional round of layoffs.
As a result of a lack of reliable information, rumors have become the substitute for facts. The rumors may be more frightening than the truth, and some of the company's most qualified employees have left. In many cases, these workers accepted lateral positions in other companies.
This exodus of experienced workers has caused additional stress on the remaining workers. It causes every employee to consider at some time or another whether we would be better off working somewhere else. The company's future is a frequent topic of conversation. It has become a running joke that whenever anyone misses a day of work that they were probably on a job interview.
The Four Frames: Looking at this problem from a Structural Frame of reference, the company is ...