As indicators of a recession pile up and workers worry about the stability of their jobs, HR leaders can offer a sense of hope to organizations despite a forbidding economic outlook.

Signs of tougher economic times are coming from major employers. A recent survey by The Conference Board found that 98% of CEOs in the U.S. are preparing for a recession in the next 12 to 18 months. In October, the rideshare platform Lyft announced that it will lay off 13% of its workforce, and the fintech company Stripe said it will let go of 14%. Both companies cited the likelihood of a recession in their decisions. Meta Platforms, the parent company of Facebook, is planning to begin “large-scale layoffs” this week, the Wall Street Journal reported.

“The HR leader is the person that’s going to lead us through the humanity of these changes,” said Michael Plante, chief marketing officer at eFileCabinet, a tech company that builds software for document management. “[The C-suite’s] tendency is going to be to all get the executives in a room and spend all of our time poring over spreadsheets. Where can we save 50 cents? Where can we save a dollar? Sometimes that’s us being fearful of fielding candid conversations.”

I interviewed Plante for a From Day One webinar on how HR leaders can help companies and their employees adapt to leaner times. He emphasized the important role HR leadership will play in keeping companies afloat as budgets shrink, resources dwindle, and employees are laid off.

First, Plante underlined the necessity of honesty between the C-suite and the rank-and-file employees. It’s often the senior-most HR leader who is the voice of the people in the room, reminding executives that the workforce deserves answers, even if it’s bad news. “In performance management, there should never ever be a surprise conversation with an employee. It’s the same thing with how the company is navigating economic situations,” he said.

Plante urged HR leaders not to be reactive or unmoving, but instead to be curious and resourceful in looking for solutions. “You may have a tendency to be back on your heels and waiting this out. Now’s the time to lean in, be actively asking questions of your management chain, and be networking with your peer groups. What did you guys do and see what worked when Covid first hit? What worked when the Great Recession first hit?” he said.

Budgets will be reduced–HR leaders can expect that–but ominous announcements from the CEO about doing more work with fewer people that often follow a lay off, are “radically insensitive to the realities of the teams that survive any workforce reduction or other changes. ‘We all have to work much harder now’ isn’t the humane approach,” Plante said.

Wherever possible, HR can recommend automation instead of increased workload for the remaining employees, with the message to employees being, “We as leaders are going to rally all of our resources to focus on the stuff that matters most so that this reduced team can get it done, then we’re going to deploy automation to help automate the work to create more capacity.”

To keep morale high and preserve productivity, Plante encouraged employers to “reattach employees to the mission.”

“Help every employee understand how their day-in-day-out work ladders up to the company’s outcomes, whether that’s revenue or whatever set of KPIs the company is driving toward,” he said. Once everyone is aimed at the same target, solicit feedback on how the company can better operate. “The richness and value we get from a diverse set of voices is doubly important in coming up with creative solutions to get through this situation.”

Show employees that they remain an important focus for the company by continuing to invest in their careers, Plante urged, even if it’s through free and low-cost professional development curriculum. “You can’t take your foot off the gas pedal on performance management,” he said. “Because that’s going to tell you who you need to keep. Those are going to be your lifeboat employees. You have to continue investing in career progressions and promotions because those are the people that you want to be mega-engaged and contributing to how you are going to thrive through and thrive after this situation.”

Being frank about what it takes to be top talent–one of those “lifeboat employees”–is a way to maintain productive engagement while motivating the remaining workers. Employers can say, “‘This is how we evaluate talent, and these people are getting preferential career acceleration because they’re achieving against these standards.’ Then you challenge everybody to achieve that,” he said.

HR leaders have a responsibility to be attitude leaders too. “Don’t let negativity or uncertainty fester,” said Plante. “It’s a vacuum. We’ve got to fill that vacuum with leaders that lean into it and say, ‘Here’s what we know, here’s what we don’t know, and here’s what we can do.’”

Emily McCrary-Ruiz-Esparza is a freelance writer based in Richmond, Va. She writes about the workplace, DEI, hiring, and women’s experiences at work. Her work has appeared in the Washington Post, Fast Company, and Food Technology, among others.

The Role of GLP-1s in Employee Benefits

Companies that offer inclusive care benefits are not only seeing higher retention rates but are also attracting job seekers who prioritize well-being over just a high salary. With obesity on the rise in the U.S., leading to increased rates of cardiovascular disease and Type 2 diabetes, employees are looking for workplaces that support their health holistically, recognizing that inclusive benefits can be life-changing.The prevalence of chronic disease presents a challenge for employers over increasing healthcare costs. 60% of employers expect healthcare costs to surge over the next three years. Yet, it is critical to offer comprehensive care and wellness for higher retention.The American Institute of Certified Public Accountants (AICPA) found that workers would choose a job with benefits over a similar job providing 30% more salary but with no benefits. Consequently, employers also face more competition with other companies that provide more inclusive healthcare benefits.The growing off-label use of GLP-1 drugs, originally approved for treating Type 2 diabetes, has fueled discussions around treatments for cardiometabolic diseases. However, cultural misuse has also associated these drugs with rapid weight loss management.What are the potential risks and benefits associated with including FDA-approved weight loss drugs in care benefits? Is there an ROI of covering weight loss medication?The Reality of CardiodiabesityDeanna Critchley the AVP of Cigna led the sessionDeanna Critchley, area vice president at Cigna, provided insight into the reality of cardiodiabesity management at From Day One’s NYC half-day benefits conference in a thought leadership spotlight.There are several factors to consider when adding FDA-approved weight loss medications such as Wogovy into care benefits. While GLP-1s are automatically covered to treat Type 2 diabetes, weight loss drugs such as Wogovy are considered add-ons or buy-ups, which affects claims costs.Currently, there is no evidence suggesting a decrease in cancer, stroke, heart attack, or other emergency room visits by taking these prescriptions alone.Secondly, drugs such as Ozempic and Wogovy generally have to be taken for an extended period of time, or even a lifetime. People gain back ⅔ of their weight within two years of stopping.Cigna conducted an internal study and found that 66% of people on weight loss medications stopped taking them within 6 months due to rapid weight loss, social pressure, and significant side effects from taking the drugs.This further presents the risk of employers facing increased medical expenditures without guaranteed positive results. It can become unsustainable to find it as pharmacy claims rise. “That’s where we’re still looking at the longevity of this to see if it’s worth you as an employer covering these drugs if they’re not even going to continue taking it.”But if employees are more likely to choose a job that covers weight loss medications, companies face undeniable pressure. “You have to actually consider your benefit philosophy, how you cover it, and what type of population you have,” Critchley said.“Do you use it as talent acquisition? Are your competitors offering that? Do you offer lifestyle management programs and that’s part of your well-being philosophy?” she asked.The benefits of investing in weight loss supplemental coverage, then, lie in having long-term employee populations, the ability and foresight to invest in long-term cost avoidance, and incentivizing customers to enroll in holistic weight management programs.Utilization Management Is KeyCritchley recommended that employers not yet covering weight loss medications should first confirm with their carriers whether utilization management measures are in place. This safeguard helps ensure that GLP-1 drugs are prescribed only to individuals with diabetes.At Cigna, their utilization program confirms clients with Type 2 Diabetes and asks if they would consider taking Metformin, a more affordable and generic prescription drug similar to Ozempic.Cigna Healthcare has developed several solutions, including RxClaimsConnect, which automates claims processing for clients with documented Type 2 diabetes. For self-funded clients offering weight loss coverage, Cigna provides access to EncircleRX, a program equipped with safeguards to ensure the appropriate individuals qualify. Eligible clients must have a BMI of 30, or 32 with two additional co-morbidities. The program also includes a cost cap or a pricing guarantee.More importantly, it includes required enrollment and ongoing engagement with a lifestyle modification program. Nutritional counseling and exercise programs are required management systems in place. This demonstrates the effectiveness of integrated and holistic healthcare as effective and inclusive care benefits.Editor's note: From Day One thanks our partner, Cigna, for sponsoring this thought leadership spotlight. Stephanie Reed is a freelance news, marketing, and content writer. Much of her work features small business owners throughout diverse industries. She is passionate about promoting small, ethical, and eco-conscious businesses.

Conversations: The Currency of the Future

Steve Artnz, CEO of Campfire, poses the question, “what is a conversation to you?” In the digital age, conversations can include verbal communication, texts, phone calls and even interactions with artificial intelligence.During a thought leadership spotlight at From Day One’s October virtual conference, Arntz spoke about the art of conversations to build stronger relationships, productive work environments and inclusive workplaces.Conversations are fundamental to fueling relationships with everyone in your life, but some conversations are harder than others. Arntz presents the audience with a mnemonic to help people focus on the key aspects to a conversation: FLAME for fluid, lively, authentic, meaningful, engaging.Fluidity “creates a mutual understanding and respect,” he said. Liveliness provides the enthusiasm and engagement between people. Authenticity helps build trust and opens up meaningful conversations that strengthen relationships. Engagement is crucial to maintain participation from both sides in the conversation.As conversation tools in the workplace, Arntz focuses on check-ins, asking deep questions and listening generatively.Steve Arntz, CEO of Campfire, led the virtual thought leadership spotlight In a general check-in, you might ask “How are you feeling?” but Arntz suggests posing deeper questions like “What are you feeling? What are your distractions? What are your intentions for our time and space together?” These can serve as more effective starting points for teams to check-in on each other.Starting off with these questions,“will reduce the number of meetings on your calendar” and “increase the path to efficiency in those meetings,” Arntz said.To dive even deeper, ask people why, how and what questions to learn more about their feelings. For example, “why is this situation frustrating you?” or “how does this feeling impact your work right now?” Asking these types of questions will allow the conversation to flow into greater discussions on feelings, thoughts and intentions.Following this tool, Arntz provides four ways to engage in conversations fully: download, which is confirming that people are heard; facts, listening with an open mind and asking questions to gather information; empathy, connecting with experiences and emotions; and creation, which is the act of creating something new together.“When you practice this generative listening with intent to learn from the unknown, to connect with the broader, bigger thing, then you can really build on each other’s insights and create new insights,” Arntz said.Although these questions and conversations can provide deeper connections between managers and employees, an existing feeling of distrust can also hold people back from being honest and vulnerable. Especially when companies are aiming for efficiency and profitability, actions can seem more transactional.“If my manager were to ask me, ‘what are you feeling?’ I might have a hard time really trusting that person actually cares and sometimes it’s because I don’t trust that the organization cares,” said Artnz. “So the manager and organization start to become conflated and they inherit each other’s weaknesses and strengths.”In these cases, it can be helpful to see vulnerability from the manager first. Prior to opening up the conversation on what employees may be feeling, start off by sharing your own thoughts and emotions, creating an environment that welcomes and encourages others to share.These skills can be utilized when holding conversations with people, but with the increased use of AI, it’s important to remember that communicating with robots is much different. “Artificial intelligence does not equal conversational intelligence,” said Arntz.Conversations with AI focus on logic, accuracy and efficiency, lacking the emotion and authenticity that takes place in human interactions. But this is not to say that technology is not useful in bettering conversations.“It’s not robots or humans. It’s robots and humans together. I see a world in which we can stop tripping on each other as much as we are today,” said Arntz. “As we get assistance from these robots…we can have much more impactful and meaningful and creative relationships and that’s a world that I'm really excited about helping to shape and create.”Arntz encourages people to use the conversational tools he discussed in addition to interactions with both robots and humans. Blending the two can help expand their insight on how to engage, create partnerships, and take action with others.Editor's note: From Day One thanks our partner, Campfire, for sponsoring this thought leadership spotlight. Jennifer Yoshikoshi is a local news and education reporter based in the San Francisco Bay Area.

Leveraging Generational Diversity: Moving from Ageism to Age Inclusion

In a recent survey from Resume Now, 90% of workers age 40+ said they experienced ageism in the workplace. And a study from AARP found that 64% of the same age group experienced age discrimination, meaning tangible impact on one’s ability to advance, stay in the workforce, and get paid fairly. “The data shows that ageism is still with us, unfortunately, in the workforce, and that it’s actually quite prevalent,” said Heather Tinsley-Fix, senior advisor, financial resilience, AARP, at a From Day One webinar.The five-generation workforce is a well-known phenomenon—in fact, 83% of executives believe that creating a more multigenerational workforce would drive their organization’s success and growth. But how should companies begin to build cultures that shift away from unconscious ageism toward age inclusion?Dr. Megan Gerhardt, founder & director of thought leadership at Gentelligence, has spent the last 15 years speaking and consulting with top organizations worldwide on leveraging generational diversity in the workplace. Gerhardt spoke with Tinsley-Fix and Heather Ainsworth, CEO of Workable Concept, on creating cultures in which all ages thrive, psychological safety enables fruitful interaction, and intergenerational collaboration drives bottom-line value. They also shared a sneak peek of a new suite of resources AARP designed specifically to help HR leaders address this opportunity. It translates research into specific actions and creates custom plans that takes into account your own areas of personal power and influence.Turning From Ageism to Age InclusionThe World Health Organization defines ageism as “the stereotypes (how we think), prejudice (how we feel), and discrimination (how we act) toward others or oneself based on age.” The workplace can be rife with generational stereotypes, with headlines constantly decrying both Gen Z and Millennials as “the worst colleagues” (and also sometimes, puzzlingly, “the best”), while also insisting that Baby Boomers retire to free up jobs for those younger folks. And while many, Tinsley-Fix says, wrongly peg those 45-55 at “late career” and 55-65 in “decline,” in fact, “people 65 plus are the fastest growing segment of the workforce.”Conversely, age inclusion is “when a team or organization creates policies, tools, and culture that enable people of all ages to thrive without needing to navigate age-based stereotypes, prejudice, or discrimination.”An effective leadership team will build a complex, inclusive culture where workers of all ages and stages can thrive. It’s not only a kind choice, it’s what Tinsley-Fix calls “a value creation strategy hiding in plain sight.” The depth of experience and skill sets in an age-diverse workforce, whether technical, professional, or durable human skills, creates major opportunities for employers who can unleash those synergies. The best results occur when people from different life and career stages work together to define problems and create solutions. Having workers of different ages allows you to connect with a wider customer base and gives you a more nuanced knowledge base to call on.“Having workers of different ages is also a talent management necessity,” Tinsley-Fix said. In the near-term, workers 65+ are the fastest-growing portion of the talent market, but over the coming decades, more people will exit the workforce than will enter it. AARP posits that “declining population or labor force participation rates among younger workers may lead to talent shortage. Retaining older workers (considered age 40+) can help employers address this challenge.”Learning to Work TogetherContrary to popular belief, the five generations in the workforce work well together. “Data shows that multi-generational teams perform better when they’re managed well than teams which are more age-siloed. In companies that utilize mixed age work teams, the productivity of both older workers and the younger workers is higher than in companies that do not use mixed age teams,” Tinsley-Fix said. “That myth that productivity declines as we age is based on measuring individual productivity rather than team productivity. Mixed age teams outperform teams on things like decision-making, creative tasks, and complex problem solving.”With this in mind, it’s important for leaders to encourage generativity, which is defined as “a person’s interest in and dedication to establishing and guiding the next generation.” Gerhardt encourages cultivating “gentelligence,” the idea of helping people have smarter intergenerational conversations. This shows up at work through co-creation, providing expertise freely, setting up organizations for success, consulting, coaching, and mentoring.The panelist spoke about "Leveraging Generational Diversity: Moving from Ageism to Age Inclusion" during the webinar (photo by From Day One)“This can also show up just in how people approach conversations,” said Ainsworth. “Is a conversation between people of different generations seen as transactional, or do they approach it with a sense of curiosity in order to co-create value and the culture that they want to be working in?”Creating an Organization That Supports Generativity“An age-diverse workforce left to its own devices is not necessarily going to be more productive,” Gerhardt said. “It has the potential to be, but like almost all forms of diversity, that rests solely on how well it's managed and led. And that includes the cultures and climates we're creating.”It’s important to encourage intergenerational interaction since it may not occur naturally, Gerhardt says, as employees often work their way up through the ranks alongside colleagues similar in age who become their friends. This lack of relationship-building can lead to age polarization. And without regular proactive exposure to other generations, stereotypes can flourish. Encourage employees to “see the value that every generation brings,” Gerhardt says, and build out a benefits package that offers perks specific to every stage of life, from student loan repayment to childcare, elder care, retirement, and more. And determine the level of psychological safety for each age group and career stage, noting that low levels of safety can result in disinterest or even concern about sharing knowledge.Much of this comes down to helping different generations understand each other better in order to strengthen trust and collaborate effectively. “I think it’s a myth that our younger generations aren’t interested in listening or learning from people who are older. I think it’s that how they want to communicate, learn, and listen has changed,” Gerhardt said. One example she shares is that Gen Z grew up having all the answers at their fingertips, so if they don’t immediately receive the “why” behind something—like why it might take 18 months to get promoted—it can impact their psychological safety. That doesn’t mean a workplace needs to cater exclusively to the young, but it should be extra mindful to have inclusive communications that account for all learning and work styles.Gerhardt suggests proactively creating opportunities for those significantly older and younger to collaborate on meaningful work where diverse expertise is needed for success. “Generativity comes from being curious,” Gerhardt said. Smarter intergenerational conversations can be sparked by “Gentelligent” power questions like: “How would you approach this? Can you help me understand that perspective? What barriers can I help remove for you to reach this goal?”Generations at WorkAn age-inclusive organization should:Welcome workers of all ages and value their experienceLive by the mantra that everyone has something to teach and everyone has something to learnBe flexible, recognizing that longer lives mean loopier career pathsSupport caregivers with leave, resources, and other benefitsManage differences and celebrate similarities across multiple generationsNot put people in buckets or make assumptions about them based on ageAARP just launched Generations at Work, a new tool packed with resources to help you take action to build and leverage a multigenerational workforce. It guides you through a self-assessment to help you create a customized plan based on your existing strategies and future priorities; provides free resources to help you executive each of three key actions; and ensures you distill your learnings and bring them back to the team.AARP believes setting a handful of targeted goals to improve age inclusion makes us more likely to achieve the changes we seek. Leveraging a multigenerational workforce requires us to consider actions across HR, both with teams and individual employees. Learn more and create your customized plan at https://employerportal.aarp.org/generations.Editor's note: From Day One thanks our partner, AARP, for sponsoring this webinar.Katie Chambers is a freelance writer and award-winning communications executive with a lifelong commitment to supporting artists and advocating for inclusion. Her work has been seen in HuffPost and several printed essay collections, among others, and she has appeared on Cheddar News, iWomanTV, On New Jersey, and CBS New York.

How HR Leaders Can Help Companies Prepare for Tougher Times

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