How to communicate a business restructure

6th January 2025, 12:17 pm

Change is a constant in business, but the current economic climate has seen a rise in organisations navigating significant restructures.

From redundancies and leadership changes, to downsizing or the sale of divisions, these decisions are never easy. For leaders and marketing teams, how you communicate these changes can be the difference between maintaining trust or facing reputational damage.

TOP TIPS:

Here’s how to approach such a project:

  1. Plan with precision

Before any communication goes public, ensure there is a robust plan in place. Involve HR, legal and PR and comms teams early to navigate sensitive areas like redundancies or regulatory implications. Anticipate potential questions and prepare answers that align with your organisation’s values.

  1. Be honest but human

Transparency is essential, but so is compassion. If redundancies are necessary, clearly explain why they are unavoidable, providing context such as market conditions or strategic objectives. Acknowledge the impact these decisions will have on employees and commit to supporting those affected through initiatives like counselling or redundancy packages.

  1. Tailor your messages

Different audiences require different approaches. Employees need to hear directly from leaders – face-to-face wherever possible – while external stakeholders such as clients and investors may prefer detailed written updates or briefings. Ensure your messaging is consistent across all channels to avoid confusion.

  1. Strengthen leadership visibility

During uncertain times, people look to leaders for reassurance. Proactive and visible leadership can help settle nerves and rebuild confidence. Whether it’s hosting team meetings, providing regular email updates or simply being available for questions, leaders must step forward as the face of the change.

  1. Monitor and review

Communication doesn’t end with the initial announcement. Regular updates on progress and the outcomes of decisions will demonstrate accountability and reduce speculation. Additionally, monitor feedback and be willing to refine your approach as needed.

It’s a test

A restructure will always present challenges but with thoughtful, empathetic communication, you can minimise disruption and strengthen relationships with your key audiences. While the changes may be necessary for business sustainability, how you share the story can leave a lasting impression on those you value most.

In a time of change, your communication strategy isn’t just a tool – it’s a testament to your leadership.

Freshfield has been advising organisations on restructures for over 20 years. If you want to discuss a project, in confidence, contact Simon at [email protected]. Given the sensitivity of such news, we are prepared to sign non-disclosure agreements.

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