Protect Us! What Front-line Workers Need from Employers

BY Michael Stahl | April 10, 2020

On a recent Monday, a 31-year-old father of three children named Christian Smalls helped organize a walk-out of fellow employees at an Amazon fulfillment center in Staten Island, New York. Inside the warehouse, thousands of items, many of them now deemed "essential" in this pandemic, are packaged for shipment each day. Outside, Smalls, his nose and mouth covered by a bandana, held up a sign: “OUR HEALTH IS JUST AS ESSENTIAL!”

He had recently taken several days off, without pay, over concerns that he might contract Covid-19, telling the New York Times that he had noticed several of his colleagues showing symptoms of the coronavirus. Then, one co-worker tested positive for the sickness.

Dissatisfied with Amazon’s response to the outbreak within the fulfillment center–which employees said included inadequate cleaning measures, a lack of transparency about the number of coronavirus cases among workers, and other concerns–Smalls took action. But after the protest, he was quickly dismissed by Amazon, who said the termination was prompted by Smalls’ refusal to adhere to social-distancing restrictions, put in place after it became known he had previously been in contact with his infected co-worker. Smalls contends his firing was punitive.

Smalls was one of the most visible of millions of workers now raising a clamor about the need for protective gear and procedures in the face of the coronavirus. They’re the ones who can’t work from home, who have to report to the front lines of necessary industries, out of both a sense of duty and the need for a paycheck.

The shortages of personal protective equipment (PPE) for health-care workers has been the most dire situation, given their dangerous exposure to the sickest Americans, but a much larger universe of workers is at risk as well because they interact constantly with customers or labor in close proximity to one another every day. At Office Depot and Walgreens, employees have complained that they were discouraged from wearing masks in the stores. Other retailers, including Target, have started allowing the masks, but employees have to find their own supplies. Meat-packing workers have been told to come to work even when they’re sick, with fatal results.

With the U.S. virtually on lockdown, companies that provide access to essential goods represent a cog in the country’s economy–and general sustainability–that is perhaps more vital than ever. But as millions register for their services, company leaders walk a tightrope, searching for the appropriate balance between bottom-line survival and compassion for employees, who are also more empowered with greater leverage.

The conflict has become a moral dilemma for many high-profile U.S. corporations–and their decisions may be long remembered. “It’s not enough to just get up and tell your employees, ‘Thank you, let’s dig in deeper,’ or ‘Here’s more money,’” Susan Stehlik, director of the Management Communication Program at the NYU Stern School of Business, told From Day One. “What I see leaders doing in a lot of different [cases right now] is they’re just pretending life is normal, life will go on, the business will go on. And that’s not going to work when you have people that are facing life and death situations.”

On the same day that Smalls dissented at Amazon, workers for Instacart, the popular grocery-delivery service, refused to fulfill orders, demanding the company distribute protective supplies to them, including hand sanitizer and disinfectant wipes, as well as extra “hazard pay,” for working in conditions that inherently threaten their health. Then came a “sick out” the next day at Whole Foods, with workers for that company, which is owned by Amazon, also asking for hazard pay in the form of doubled wages. Later in the week, Trader Joe’s employees, disturbed by the company’s alleged haphazard response to the coronavirus outbreak, circulated a petition for hazard pay as well, amounting to a time-and-a-half hourly rate.

So far, the loudest voices in the media belong to people like Smalls, who told the New York Daily News, “[I]f I’m the sacrificial lamb and I get people out of that building, so be it … I don’t want to work for a company that doesn’t care about people.”

Corporations must look to change that narrative through their actions and communications, say management experts. The more courageously empathetic their leaders can be, the better the tone they’ll set for recovery, both internally and across the global economy.

“We’re not in a hole, we’re in a tunnel, and there is light at the end of the tunnel,” says Niamh O’Keeffe, founder of The Prosper Leadership Academy, a global leadership education and advisory organization, and author of  Future Shaper: How Leaders Can Take Charge in an Uncertain World. O’Keeffe observes that, at least for the time being, all signs indicate the pandemic-spurred social distancing and quarantines wreaking havoc on commerce will last for a period of months, not years.

“If a business feels like they can survive three to four months, then … keeping their skilled workforce will be important in the fifth month,” she says. And the key to retention in this time of the Coronavirus is to ensure workers are safe and feel valued within the context of the crisis.

“First responders used to be thought of as fire fighters and healthcare professionals and police, and now it’s the people who are stocking the shelves and replenishing the groceries,” says business strategist Edward Segal, author of the forthcoming book Crisis Ahead: 101 Ways to Prepare for and Bounce Back from Disaster, Scandals, and Other Emergencies. “It’s important for anyone who employs these new first responders to treat them well, treat them right, and do what it takes to protect their health and wellbeing.”

Segal believes company administrators should “go all out” to ensure employee safety during this difficult stretch, and not just “do what they can do, but what they should do.” This means sparing no cost, especially when giants like Amazon and are known to have very deep pockets.

“This is no time to go cheap, or to save a few pennies, or to say, ‘No, this is a matter of union negotiation,’” Segal continues. “Safety is non-negotiable.”

Indeed, front-line workers are being recognized as heroes, and the public is hearing their stores. One Instacart worker in Brooklyn Center, Minn., who asked to be referred to only as “Jessica,” told From Day One on April 1 that she’d been fulfilling orders from her phone-app dashboard for nearly two weeks, without wearing gloves or a mask, and encountering scores of people ignoring social distancing guidelines while on grocery-shopping excursions.

“Now I have to buy, from [out of] my own pocket, a face mask to support myself and protect myself,” Jessica said. “I believe [Instacart] should do a better job of prioritizing their employees’ health.”

Walking off the job was not an option for her. Though Jessica says she grosses about $11.50 an hour, in a state with a minimum wage of $9.86 per hour, and has to cover the cost of gas for her car, she still needs the money for medical bills and other everyday expenses.

In an email to employees, prior to the work stoppage, Instacart initially offered to provide hand sanitizer to workers, whom they refer to as “shoppers.” But Jessica said the company limited the sanitizer supply to one bottle at a time, which she felt was insufficient. Instacart also said it would eliminate a $0 tip option on its app, and add bonus programs for shoppers who operate longer and where there’s greater regional demand. Employees intending to take part in the work stoppage said the measures were “ridiculous,” and would “provide no meaningful benefit to shoppers.”

Health-care workers in New York City, calling for more personal protective equipment (PPE) displayed photos of colleagues who have died of coronavirus (Photo by Craig Ruttle/Redux)

Though it’s unclear how many Instacart shoppers went on strike March 30, their efforts paid off. Instacart announced three days later that it will begin providing shoppers with health and safety kits that include a reusable cloth face mask, hand sanitizer, and a thermometer.

Such a quick shift in policy is not necessarily a show of defeat or weakness on the part of corporate leadership, but, arguably, an indicator of strength and resilience. O’Keeffe says company managers tend to want to feel as though they’re in constant control of any given situation. In a pandemic, that might be a mistake.

“There’s a new sort of leadership skill that’s emerged here, which is to recognize there isn’t a rulebook for this,” she says. “It’s almost a relief to understand that that’s what you have to do now, rather than feel like you have to be in control of it.”

Those executives who are not afraid to ask for help and can “monitor a rapidly evolving situation and have a creative response” as the crisis continues are to be embraced, not shunned. In a fast-unfolding situation like a pandemic, O’Keeffe offers, “what might be working this week is not appropriate the next week.”

Amazon appears to be adapting policy as well, prompted by employee dissent. Two days after the company’s troubles in Staten Island, around 20 workers in a Detroit-area fulfillment center walked off the job. Three facility employees there had already tested positive for Covid-19, and protest organizers said they were “scared” to go to work.

“We’re working through a crisis not by choice, but by necessity,” a walkout organizer said in a statement. “We aren’t heroes and we aren’t the Red Cross. We are working people who pack and deliver goods.”

By April 2, Amazon announced it would soon give out face masks to workers and administer temperature checks at all its U.S. and European warehouses the following week. On April 4, Reuters reported the company had contacted coronavirus test makers with an eye toward testing employees.

In light of all that, one fulfillment-center worker, who identified himself as “Joe” and said his warehouse is in the Midwest, told From Day One in an email that he believed Amazon was doing plenty to keep staff safe at his location.

“It is actually becoming frustrating how many safety precautions we must follow, but at the same time, I completely support them,” Joe said. He added he was content with the $2 hourly bonus Amazon began distributing to warehouse and delivery workers beginning March 16, as well the double-overtime pay they’re receiving, when under normal circumstances they’d get time and a half.

As satisfactory as more cash might be to workers, however, what may be even more important is the notion that they’re valued as human beings. In communicating with workers, heads of companies should “lead with the empathy, in order to keep employees feeling connected and engaged and motivated,” O’Keeffe says. They should begin emails with statements about how their thoughts are with them and their families. “It’s an opportunity for the business to really live out their actual purpose and values that they said mattered to them.”

An employee at a WinCo Foods grocery store outside Salt Lake City, who asked to remain anonymous, told From Day One that he applauds the Whole Foods workers who protested, but generally reported a satisfactory response to the crisis from his superiors. He appreciated WinCo’s efforts to limit the number of people inside the store and its enforcement of social-distancing regulations by taking steps to lay down colorful tape on the floors as lines of demarcation, now an eerily ubiquitous image at retailers.

WinCo, a majority employee-owned chain based in Boise, was also telling employees who felt sick to stay home, according to the worker, and asked managers to create a protective shield between the cashiers and customers by installing a plastic panel. Employees were also given gloves to wear while working, but not masks because, at the time, the Centers for Disease Control (CDC) was recommending healthy people eschew the masks so more protective gear would be available for medical personnel. (The CDC has since updated its stance, recommending people at least cover their faces with a piece of cloth.)

Still, the WinCo worker thinks more needs to be done at the store where he works. There’s a break-room paper-towel dispenser that needs to be hand cranked, and he’d like to see it replaced altogether with a touchless version. Though the store manager has provided sanitizing wipes to address the issue, some fellow employees aren’t using them, and do not seem to be taking protective measures seriously in the first place. As the worker wrote in a Reddit chat message: “I had the realization the other day that there’s a very good chance that a few of my coworkers could die and that sucks.”

However, the worker did say that many customers have recognized the employees’ resolve in showing up to work, risking their health, during the pandemic. He has “been hearing stuff all the time like ‘Thanks for being here’ and people saying we’re heroes but I don’t actually believe that. … I’m not going to work out of some sense of purpose to help fight [Covid-19]. I’m going to make ends meet and because I have to.”

Another company that employs essential workers, UPS, came under fire the week of March 20 when a number of workers complained to the media that they were not sufficiently protected. They said no masks or gloves were being provided, and the company had yet to institute contact-free delivery procedures. Some claimed they had continued showing up to work, even while experiencing coronavirus symptoms, out of fear of losing their jobs.

A UPS spokesman, Steve Gaut, told theNew York Times, “While it is possible to find an exception, our work force has been provided information and supplies to manage health risks,” including masks and hand sanitizer. He added UPS had begun disinfecting vehicles and other equipment daily, and had “substantially increased cleaning and disinfecting surfaces throughout our facilities.”

Behind the scenes, UPS was also negotiating a new Covid-19-focused agreement with the Teamsters Union, which represents UPS delivery personnel, finalized on March 19. The company agreed to provide paid leave for any worker diagnosed with the virus, required to be quarantined, or quarantined due to a family member’s illness. “UPS has also altered delivery requirements to minimize direct contact with customers by not requiring signatures from the customer,” the Teamsters said in statement.

The Teamsters’ press secretary, Kara Deniz, indicated both parties are open to further negotiations as the crisis ebbs and flows. “The Teamsters Package Division and local unions are working every day to protect the members, including daily communication with UPS in order to resolve any concerns workers face during this pandemic,” Deniz wrote this week in an email to From Day One.

At least one UPS worker may have already died from the sickness. Though it is unclear how the unnamed male, employed in a management role at a Louisville shipping hub, contracted Covid-19, several anonymous employees told Reuters he had succumbed to the virus. They also said UPS is not being transparent enough in disclosing the number of workers who’ve become ill.

The state of affairs at UPS, and so many other companies right now, indicates how fluid the developments are. Segal emphasizes that, in such conditions, it’s important for management to listen to their employees’ concerns. “They’re talking to the press now, they’re giving interviews, they’re marching, they’re picketing,” Segal says. “Sit down with them and ask them directly, ‘What is it that we’re not doing right?’ ‘What is it we should be doing?’ Or ‘What should we be doing more of?’”

Should company leaders continue with a business-as-usual approach during this crisis, NYU’s Stehlik says, a reckoning will certainly be in their future.

“I think they need to have what I call a ‘come-to-Jesus moment,’” she says. “Leaders need to be told this: ‘You will pay the price for your actions and your decisions, and so will your company.’”

Stehlik would rather see corporations view their employees as members of an extended family, which was the more prevalent sentiment across the business landscape back in the 1950s and ’60s. That has all but disappeared today, she says. If they did, leaders would likely feel more inclined to take action to protect their employees without bottom-line concerns, falling directly in line with worker expectations.

“People are seeing the hurtfulness of what’s going on,” Stehlik says. “I hate to be dramatic, but revolutions come from things like this.”

O’Keeffe suggests C-suiters even consider talking to the competition so they can collectively come to grips with the best ways to proceed forward.

“You have this whole ecosystem now that people talk about in business where it’s moving away from the traditional ‘I win, you lose’ type of mentality,” O’Keeffe says. Instead, she adds, company heads might rather ask, “How can we make the pie bigger for all of us?”

Michael Stahl is a New York City-based freelance journalist, writer and editor. You can read more of his work at MichaelStahlWrites.com, follow him on Twitter @MichaelRStahl, and order his first book, the autobiography of Major League Baseball pitcher Bartolo Colón, at Abrams Books.

 


RELATED STORIES

How Companies Can Lead in an ‘Age of Outrage’

The nation is on edge. We’re anxious and angry, distracted at work, and eager to brawl out our differences in public. At the highest level, our presidential candidates have framed Tuesday’s election as “an existential battle for the nation’s character, its democracy and the safety of its residents.” Social media influencers on both sides of politics have turned pain and rage into a lucrative business model. More and more families are becoming estranged over disagreements great and small, while contempt and disrespect have become ingrained habits for many.The mood seems contagious, with “assuming the best in others” in rare supply. Boeing endured a costly, contentious strike by unionized machinists who demanded restoration of their pensions. In September, Fortune reported that employees at Amazon were “rage applying” for other jobs after their CEO ordered workers back to the office five days a week.Is this our new modern culture–or are there ways to reduce the rage? Karthik Ramanna, professor of business and public policy at the University of Oxford, describes the moment as an “age of outrage” in his new book, The Age of Outrage: How to Lead in a Polarized World, published last week by Harvard Business Review Press.As election season in the U.S. reaches its peak, rhetoric is sharpening (not to mention quite foul) and the public is feeling nervous and emotional. While tension and even anger over political, ideological, or values differences is nothing new, for the title of his new book, Ramanna chose the word outrage. There’s just something different about the current tenor of the moment: A hotter temperature and a higher pitch. For companies, dealing with this force is no longer a PR task, but a “critical capability,” he writes.Managing in the age of outrage is not the same as managing isolated incidents of disagreement, Ramanna told From Day One. It’s a mistake to treat corporate mishandling of these ongoing issues as mere PR problems or temporary. Those who do will find themselves playing defense day after day. “Tomorrow there’ll be a new issue, and the day after there’ll be a new issue. That approach isn’t going to work,” he said.The outrage Ramanna writes about is typically focused on leaders and institutions, and HR and business executives are preparing for stress and heightened emotions following the election season. Learning from embarrassing corporate gaffes, many firms have been increasingly proactive, institutionalizing their responses to angry employees and the public with social-issues working groups. These are cross-functional committees assembled to prepare for crises, both internal and external, and determine whether the company will respond–and, if so, how–when they arise.Ramanna warns employers against prioritizing processes over outcomes when preparing a response to outrage. Agree to rules of engagement, but “we don’t want to get too bogged down in that process. We want it to be more of an informal guidance to the way we operate. It’s more important that we actually trust each other than that we have written rules that say we trust each other.” The rules should be simple, he said, “things that people can recall in an instant. If people can’t recall what the rules of engagement are when they’re in the heat of the moment, then they’re not very useful.” For this reason, Ramanna is reluctant to overly formalize the process, “because that might actually kill what you’re trying to do.”As a leader, you should temper expectations. “No matter what you do,” he writes, “you can never fully address the demands made of you.” Remember also that “you will always be seen as part of the problem.” Instead of wrongly believing you have the power to solve all problems or quell all outrage, aim for “turning down the temperature.” In The Age of Outrage, Ramanna describes how.A Framework for Turning Down the TemperatureRamanna offers a four-part, cyclical framework for turning down the heat. First, identify the source of the outrage. That is, the deep-seated and underlying causes fueling the anger. Look beyond the inciting incident to the wound it has irritated, and manage your own preconceived notions of your antagonists and their motivations.Second, determine the extent to which the organization can effectively respond. What is within your responsibility to address, and what is within your capability to address? This is where your company’s values and mission can guide you. If you say you will protect reproductive rights, for example, then it’s imperative to step up when the issue arises in the public arena. In fact, moments of anger present an opportunity for clarifying an organization’s values, Ramanna writes.Third, take stock of the leader’s influence. Now that you’ve identified what is an attainable and appropriate response, how will the leader win the support of others in influential positions as well as the support of the workforce?And finally, build resilience. “A resilient organization (or system) is characterized by the delegation of authority,” Ramanna writes. “By situating decision-making close to ground realities, the organization both improves the informativeness of its decisions and diversifies its thinking and, as a consequence, can endure and even thrive amid negative shocks.”Are Corporate Values Outmoded?Values statements and public commitments to causes or communities may be useful guideposts for how to focus corporate response in the age of outrage, but they can also make it harder to deliver. Companies have caught themselves in dreadful thickets in the name of transparency and principles. When corporate behavior, or the behavior of business leaders, doesn’t reflect publicly stated values and beliefs, companies feel the pain. Ramanna cites Disney’s entanglement with Florida’s “Don’t Say Gay” bill in 2022. Despite being a public advocate for LGBTQ+ rights, the company did not publicly oppose the bill and was at the same time writing checks worth hundreds of thousands of dollars to politicians who sponsored it in the state senate. NPR reported that “Disney employees shared their outrage on social media when the company did not denounce the proposed legislation.” (In 2024, Disney resumed political donations to Republican candidates in Florida who voted in favor of the bill.)Being publicly “good” and values-forward can indeed make you a target, according to New York University professor Alison Taylor, who, in her book Higher Ground: How Business Can Do the Right Thing in a Turbulent World, points out that those seeking a target for their outrage will look for the companies and leaders most vocal about their principles.“Some companies can legitimately argue that these are not part of their value proposition. That’s not the case with Disney,” Ramanna said. “Part of why they got into the problem in the first place was when the ‘Don’t Say Gay’ bill was initially being proposed, they said, ‘Oh, we’re neutral in this.’ No, you’re not neutral. You’ve already established that you’re not neutral, and now it looks opportunistic to claim that you’re neutral.” Where the issues are directly related to the business or its stated values and identity, then you can’t step aside. You must proactively engage.Despite shifting political winds, “there is also little doubt that many institutions today have adopted a more progressive culture,” reported the New York Times this week. “They acknowledge bias and power imbalances between people of different genders and races. Despite efforts to roll back D.E.I. programs, few businesses or schools would doubt the importance of recruiting people from different backgrounds. A range of progressive causes—climate change reduction, workplace protections and higher taxes on the wealthiest Americans—remain popular.” Even so, in an age of outrage, corporate values aren’t as simple as they used to be. As belief systems diverge so severely, it can be tough to get people to agree, even in the workplace. Ramanna distinguishes between “opportunity values” and “outcome values.”While outcome values tend to divide, opportunity values can unify: Even if you can’t agree on the outcome, at least you can agree on the rules of engagement—how a group arrives at conclusions and makes decisions. “The commitment to the opportunity values is more meaningful than the commitment to outcome values, especially when you’re dealing with this outrage,” he said.Bracing for a Polarized Workplace Post-ElectionTo be clear, Ramanna isn’t interested in prescribing values or making ethics judgements, nor does he offer advice on business strategy. Companies have to do that on their own, he said. But when it comes to managing in an age of outrage, he does advocate a kind of corporate stoicism: Concern yourself only with what you can control.With the election and its aftermath upon us, Ramanna urges employers anxious about the workplace climate not to quit before they start, but make a plan to lead in an age of outrage. “Look, it’s never too late. On one hand, you might say, ‘Oh my God, I should have started this six months ago, five years ago,’ whatever it is. But on the other hand, if you don’t start it today, it’ll still be too late in six months.”Despite the outcome of the election, he said, leaders can count on two things. “No. 1, that we’re not going to have some magical healing on the day the elections are over or the results become clear. If anything, we’re going to be sharply divided. The second thing is, as a business, you have to figure out a way to work through that.”Emily McCrary-Ruiz-Esparza is a freelance journalist and From Day One contributing editor who writes about work, the job market, and women’s experiences in the workplace. Her work has appeared in the Economist, the BBC, The Washington Post, Quartz, Fast Company, and Digiday’s Worklife.(Featured photo by Solstock/iStock by Getty Images)

Emily McCrary-Ruiz-Esparza | November 04, 2024

Who Are the Next CHROs? A High-Stakes Recruiting Task Gets Serious Attention

Not long ago, if you’d asked someone what the most conservative part of an organization was, chances are the answer would be the HR department. Well, maybe tied with the general counsel’s office, but the image of the top HR officer as a high-ranking paper-pusher or disciplinarian carried on for decades.No longer. In the information age, when companies are increasingly investing in human capital over physical capital, the chief HR officer plays a pivotal role in a company’s fate. Today’s CHRO is a business leader, operating what Deloitte named “boundaryless HR,” in which “the traditional people discipline itself starts to merge with other related disciplines like decision science, behavioral economics, and academic disciplines such as psychology, sociology, and anthropology.”The question now becomes: Where can companies find a person like that for such a high-stakes role? Turns out, CEOs are far more proficient in CHRO selection today than they were a decade ago, says John Bremen, a managing director at consultancy WTW, where his job is to imagine the future of the C-suite. “People issues today are so much more pronounced and so much more prominent than previously.”From Day One spoke with CHROs in the Fortune 1000 and the consultants who recruit them to find out what it takes to be a CHRO at the world’s biggest companies. What do CEOs look for in an HR chief? And who’s next in line for the job? No one single formula emerges, but several key attributes emerge, including previous experience as a CHRO, demonstrated HR savvy plus a law degree, or a proven track record of adaptability across multiple industries.All Eyes on the CHROCHROs are experiencing unprecedented attention, thanks to their inestimable value confirmed by the pandemic, economic swings, social unrest, return to work, and now the global skills shortage. Dan Kaplan has spent 15 years recruiting CHROs at consulting firms like Heidrick & Struggles and Korn Ferry, where he’s currently a senior partner. He told From Day One that private-equity firms, in particular, have homed in on the position as they restructure companies, assessing not just CEOs and CFOs rigorously, but now the CHRO as well. Some PE firms replace the CHRO first, he said, “with a view that that person becomes the catalyst to assess and replace the rest of the leadership team.”Given the scope of the role, executives are appointing fewer first-timers than they have in the past, according to the CHRO Turnover Index by Russell Reynolds Associates. The number of rookie CHROs has been decreasing globally since mid 2022. Among S&P 500 firms, first-time appointments are down 19 percentage points since that year. This is even more true for FTSE 500 companies–the UK’s answer to the S&P 500–where for nearly a year in 2022-23) every incoming CHROs was a veteran of the role.Maral Kazanjian, the CHRO at the credit-rating agency Moody’s (company photo). Featured photo at top: Kate Gebo, CHRO of United Airlines, spoke at From Day One’s Chicago conference this springThere’s also an appetite for highly varied professional experience. The lion’s share of CHROs today are cross-industry hires. Analysts at Heidrick & Struggles examined the 2024 Fortune 1000 companies and found that more than 77% of external CHRO hires were from other industries. With a few exceptions, the CHRO is an “industry agnostic” role, said Kaplan, and HR chiefs tend to glide easily between industries. Among the most coveted qualities in a HR chief is agility, and cross-industry work naturally develops that skill. Now companies recruit CHROs with much of the same criteria they use when recruiting business leaders: experience with mergers and acquisitions and the grunt work of combining workforces, knowledge of a P&L, plus familiarity with thorny issues like labor-union negotiations. “At a company juncture—say, a new CEO comes in and they’re tasked with some turnaround—they often need a different type of CHRO for that phase of the company,” said Jennifer Wilson, co-head of the global HR officers practice at Heidrick & Struggles. “With the amount of M&A and cost-cutting, and then getting back to growth, they want to find somebody who’s been through that cycle.” Why Your Next CHRO May Also Be a JDIf you’re looking for a CHRO with cross-industry experience, plenty of exposure to the C-suite, plus experience with assembling multiple companies and quelling labor disputes, a labor-and-employment lawyer often satisfies the brief. With greater exposure to risk (as a sample: reputational, environmental, technological, privacy, and supply chain) it’s reassuring to know there’s an attorney occupying the seat. “There’s the employee-engagement lens, and there’s the productivity lens, there’s the regulatory lens, and there’s the profitability lens,” said WTW’s Bremen. HR is no longer a static department, now it has to make things happen.Law practice also develops the confrontational confidence CHROs need. “You need to have had the experience of walking into a senior leader’s office, closing the door, giving them feedback, and challenging them on an issue where you think there’s a pretty good chance of getting fired today,” Korn Ferry’s Kaplan said. At times, it’s as diplomatic as managing the CEO’s personality and presenting even the most uncharismatic leaders to the workforce as people who can be trusted, which sounds a lot like what might happen in a courtroom.Before Claudia Toussaint became the chief people officer at the global water-technology company Xylem, she was the company’s general counsel. CHROs can’t afford to be intimidated by hierarchy, she said. They have to be prepared to tell the CEO that they’re out of line, and why it matters. The professional training of an attorney comes in handy too. Lawyers gather evidence, make conclusions, and present a case. “That skillset, I think, is far more valuable today in the HR function than five years ago or ten years ago,” Toussaint said. “I think that’s why people are increasingly saying, ‘These people that have a law degree and have been trained to think systemically, to take data, analyze data, reach conclusions from it, and then drive impact from those conclusions—that’s actually not a bad background for leading HR function.’”HR and the general counsel’s office have a natural relationship. Maral Kazanjian, the CHRO at the credit-rating agency Moody’s, felt she was effectively moonlighting as an HR professional while working as the firm’s attorney, applying the law to all kinds of employment matters. “I was really lucky because Moody’s is a very successful company and also has a really fast-growing information-services business within the traditional ratings agency. Because they were growing so fast, a lot of employment issues arose,” she told From Day One. “We were in different jurisdictions. We had different questions we wanted to answer about ‘How do we do hiring right? How do we handle performance management? How do we maintain a focus on being inclusive? How do we do promotions right?’ There are legal questions, then there are operational and human capital questions.” Kazanjian’s first time leading the people function was at WeWork during the dog days of the pandemic. In February 2022, she returned to Moody’s, where she occupies the chief people officer job today.Jennifer Manchester, the CHRO at Fiserv, is a relatively new arrival to the C-suite, and like Kazanjian, has jumped industries. Manchester first crossed paths with HR at her former employer, the Dow Chemical Co., where she worked in the general counsel’s office on mergers, acquisitions, and other corporate transactions. “I always loved the employment piece and the people side of things the best. That’s where I figured it out: That was really ultimately what I wanted to do.”Manchester moved over to Fiserv in 2015, working closely with HR as a labor attorney, and ascended to the CHRO seat last spring, “I’ve always gravitated toward people issues, trying to solve problems. It’s such a dynamic role.” But about this she was clear: You can’t just pluck any attorney out of the legal department and promote them to the chief position. “You have to have some substantive core expertise in HR or employment. HR is a real science, and I don’t think anyone can just do it.”Deep, Successful Experience in HR Counts TooA background in HR is hardly irrelevant. Among the 10 highest-ranked companies on the Fortune 500, most of their CHROs have spent decades as HR practitioners. Melissa Hagerman, CHRO at insurance firm Genworth, came up through the HR department, and, like many of her peers in the Fortune 500, has worked across industries, including consumer and automotive retail and healthcare. She joined the HR field when it was still known as the personnel department. Being an effective CHRO takes compassion and diplomatic agility, she said. And it can’t be done without a natural curiosity for businesses. “As a CHRO, you have to really genuinely care about what the business is doing and where we’re heading, and you have to care about the people that are on the path to get us there. That is something that I really try to embrace and live by every day.”Hagerman is also a keen scout, continually monitoring what’s going on both inside and outside the organization, “understanding what’s happening politically and socially in the markets so that I can weigh in, whether that’s with our executive team or with our board of directors, or being able to think about how those may impact eventually our workforce.”HR has far more credibility and influence than in the past, Hagerman said, reflecting on her decades in the department. “The world now understands that people resources are really fundamental to the bottom line. Succession planning, development of associates—the focus on those things is far greater now than they ever were. Of course, cybersecurity, protection of data–all of those things–are more in the limelight now than ever.”Yet Your Next CHRO May Not Be Working In HR Right NowA career in HR can win you the seat at the top now, but that may not be true for the next generation of CHROs. Today, businesses seldom want an HR executive who has spent all their time in the department, said Wilson at Heidrick & Struggles. “In the companies we work with, it’s often said that if you can find somebody with a business background who’s either been in management consulting or held either a P&L role or a functional role outside of HR, that’s more interesting to us.”The next crisis is always around the corner, Korn Ferry’s Kaplan told From Day One, and HR has to be there to meet it. He rattled off a list of recent trials, from financial and economic wobbles, political unrest, racial injustice, reproductive rights, return to office, artificial intelligence, and gun crime. “If you are not prepared to put on your dance shoes and figure it out, you can’t do this job. More than academic credentials, intellect, or experience, you have to be able to tap dance.” As a result, people aren’t exactly grappling for the seat, he said. It’s a big job and it’s tough to recruit for. Some people get too close to the sun and opt out; others don’t realize what they’re signing up for before it’s too late.Everyone is looking for agility in the role. Bremen at WTW speculated that consumer-oriented industries–like retail, fast-moving consumer goods, cosmetics, or fashion–may be developing tomorrow’s most coveted CHROs. Tech firms develop great HR talent too because they have to marry operational complexity with consumer demands. Regardless of industry, he believes the most successful future CHROs are schooling themselves in the application of new technologies, particularly artificial intelligence, and have analytical capabilities far superior to their predecessors.In case you were thinking of plucking your next CHRO from the Wharton School, however, Kaplan cast doubt on the wisdom of choosing an MBA for the job simply because they’re a whiz at business. “If someone says to me, ‘I’m not an HR person, I’m a business person,’ that is a sign that I’m wasting time. I’ve never heard a CFO say, ‘I’m not a finance person, I’m a business person.’”Disciplines like finance can be taught in school, Kaplan argued, but HR is learned through apprenticeship. Management consultants who spoke to From Day One predicted that the future chiefs who are coming up through the HR department are leading complex functions at the moment, as heads of talent or directors of compensation and benefits.As today’s CHROs consider their potential successors, what are they looking for? At Moody’s, Kazanjian wants someone who is open-minded, bold, and analytical. She imagines that person might be in law, or they might be in management consulting. Toussaint wants someone who deeply understands the company culture at Xylem as well as how the business makes money, someone who’s good at data analysis, and someone who is a “truth teller,” uncowed by hierarchy. Manchester hopes her Fiserv successor has financial acumen and an always-learning attitude. At Genworth, Hagerman wants a values-driven, business-minded leader with deep knowledge of HR and a knack for diplomacy. Someone who is willing to uphold integrity, “above all else.”“Once upon a time, it was possible to be the most senior HR leader in a company and not have a grounding in the business fundamentals,” Bremen said. “That skillset is a necessary, but not sufficient, condition.” Yet business acumen alone isn’t enough without a deep understanding of the CHRO discipline, though he’s seen it happen. “They struggle. Just as you would struggle if you put someone in a chief marketing officer role who did not have a background in marketing. Sometimes leaders take those HR skills for granted.”Emily McCrary-Ruiz-Esparza is a freelance journalist and From Day One contributing editor who writes about work, the job market, and women’s experiences in the workplace. Her work has appeared in the Economist, the BBC, The Washington Post, Quartz, Business Insider, Fast Company, and Digiday’s Worklife.

Emily McCrary-Ruiz-Esparza | September 24, 2024

Election Stress in the Workplace: How Leaders Can Respond Without Taking Sides

Business leaders don’t need outside research to tell them that anxiety around the coming Presidential election is high–and that the stress can impact employee well-being and productivity, but here are some sobering stats:•73% of U.S. adults say they are anxious about the election, according to the results of the 2024 American Psychiatric Association’s annual mental health poll.•55% of Americans surveyed by Pew Research always or often feel angry about politics.•8 of 10 in the Pew survey used a negative word or phrase to describe how they feel about  politics, with “divisive” being the most used.•Nearly two thirds of workers (65%) surveyed this summer by the Society of Human Resource Management (SHRM) said they have experienced or witnessed incivility in their workplace within the past month. And more than a third of workers (34%) said they believe the November election will trigger additional incivility in the workplace.In fact, psychologists and researchers are now studying a distinct form of anxiety called “political anxiety” and the unique way it harms both physical and mental health. The stress has been building since the 2016 election.The good news: executives, HR teams, and managers can—and should—prepare (now) for the November election. With just a few weeks until workers head to the polls, From Day One reached out to HR experts to learn about their strategies to diffuse stress and political polarization in the office, and, if necessary, address conflicts that may arise. Among the takeaways:Encourage Employees to VoteOne simple and non-controversial step companies can take is to promote voting. While there’s no federal mandate that employers give workers the day off to vote, some states do, and many companies provide flexibility on election day. Encouraging workers to vote is a good way to acknowledge what’s on their minds without taking a political position.If you’re curious about what other organizations are doing or need to back up a recommendation to leadership, check out Time to Vote, a non-partisan business group launched in 2018 that believes “workers shouldn’t have to choose between earning a paycheck and voting.” With more than 2,000 member companies including VISA, P&G, and Target, the organization is attempting to bridge the legislative gap and increase voter turnout. Patagonia, one of the companies that founded Time to Vote, has been giving its employees Election Day off since 2016. This year, the outdoor apparel company will close stores, offices, and warehouses on Oct. 29, national Vote Early Day, to allow workers to vote and volunteer in support of the election.Acknowledge Political Differences, But Don’t Take Sides“Some leaders want to take a stance, but I would caution them not to impose their political views. Your job is to stay neutral,” says Deb Josephs, an HR consultant and executive coach. You can take a stand, without taking a side, she adds, “as long as you support the individual as opposed to an issue.” When Roe v. Wade was overturned in 2022, for example, one of her HR colleagues said their company put out a statement to let employees know that they could come to HR if they needed support for reproductive health. Large employers like JPMorgan Chase and Meta and others announced they would cover travel costs for employees who are seeking legal abortions out of state.   Keep the Focus on Empathy and Employee Support “Organizations need to say it’s a polarizing time, and that could be impacting how you show up at work,” offers Tracy Avin, Founder of TroopHR, a human resources peer group with more than 1,300 members and 15,000 LinkedIn followers. Avin says the topic of how to address the election has come up often in the TroopHR message boards, so much so that she decided to host a fireside chat called “Leading with Empathy in Polarizing Times” with an outside expert this September. One piece of advice from the virtual session: Develop an "Allyship Series" or similar educational program to foster understanding and empathy for different experiences and perspectives within your organization.She advises HR leaders to do what she does for her members: create a supportive environment where all viewpoints are welcome. “It’s an opportunity for managers to know how to respond. It’s not about opinions,” she said. “You can say something like, ‘It seems like you’ve been upset lately,’ so that person can express that they are stressed out. Then you can tell them to take a day off or provide mental health resources as needed.”Additional outlets for employees might include a moderated Slack channel or an employee resource group (ERG). “What’s most important is that employees know where they can go for support,” says Leonora Wiener, an executive leadership coach and former chief operating officer of Consumer Reports. Communicate Early and OftenAt Consumer Reports, Wiener helped lead teams through the 2016 and 2020 elections, the racial-justice reckoning after George Floyd’s murder, as well as the pandemic. She stresses the importance of listening to employee concerns and actually asking your staff what kind of support they are looking for. “Oftentimes organizations aren’t that good at finding out what their ‘internal customers’ need,” she said, adding to make sure any feedback groups are diverse and include representatives from all generations and backgrounds. In terms of communications, her philosophy is lather, rinse, repeat. “People need to hear the same message many times, and it needs to be said through different channels. Not everyone reads Slack or emails, and not every manager delivers the message in the same way.” Start that election communications drumbeat today, she says.Don’t Go It Alone Josephs echoes that sentiment, recalling how much “over communication” was required during the pandemic and other recent events. She also points out the added pressure and increased responsibility borne by HR and people leaders as social and political issues continue to divide the country and tensions spill over into the workplace. Her tips: find support, leverage your professional networks, and share information with your peers. They are likely also engaged in scenario planning and reviewing their employee handbooks to ensure current policies are being followed.   Revisit and Reinforce Your Corporate Values Speaking of employee handbooks, now is the time—not the day before the election—to take a good look at your organization’s values and what employee behaviors are and are not tolerated. “You want to support employees,” said Wiener, “but you also need to be prepared for [how you will respond to] conflict.” Once you review your employee handbook, it’s important to figure out how the company will act if one of those values is violated. “Leadership needs to decide if they have zero tolerance or if they will put an employee on probation, and they need to be consistent.” Get Input From the Legal Department But Don’t OvercorrectShould you involve legal? Yes, says Wiener. “It’s important to be prepared and understand what you can and cannot do.” Scenario planning, she says, is critical. Ask yourself: How will either election outcome affect my products and services (supply chain, tariffs)? What are the risks and mitigants (for any immigrant workers)? How will employees be impacted (job productivity, mental health)? How might you handle immigration issues, or a harassment claim? But don’t go down a legal rabbit hole. Alison Taylor, a clinical professor at New York University’s Stern School of Business and author of Higher Ground: How Business Can Do the Right Thing in a Turbulent World, weighs in with a word of caution:“The main thing I’m seeing out there is that corporations are overreacting to advice from their legal teams, and dialing back on DEI and ESG because they fear legal retaliation under a Trump presidency,” said Taylor. “But they seem to have forgotten how angry the public and employees were over issues like climate change and racism under the last Trump presidency.” She continued: “A laser focus on legal risk is not a good idea. There needs to be broad scenario planning, certainly caution over sustainability commitments, but also care and restraint about overreacting to rhetoric from either side.”Jenny Sucov is a journalist and editor who focuses on health and well-being. She has worked for companies and publishers including Hinge Health, EverydayHealth.com, Canyon Ranch, Real Simple, and Prevention.(Feature photo by Adamkaz/iStock by Getty Images)

Jenny Sucov | September 23, 2024