Small Business Owners: 4 Ways to Aid Staff in Market Crash

Small Business Owners: 4 Ways to Aid Staff in Market Crash

Some small business owners are following prominent business leaders in taking the helm and helping one of their most precious asset: their employees.

Recently, Ted Leonsis, Monumental Sports & Entertainment founder, chairman, and CEO stood up in assisting his employees after the suspension of NHL and NBA seasons due to the pandemic. He, at the least, paid all his 500 part-time staff, especially the arena workers in Captial One Arena, for all the 16 events that were either postponed or cancelled.

Eric Plam, Skyroam International President, an IT company specialising in mobile Wi-Fi technology, said he has 120 employees based in Shenzhen, China who were affected by the economic lockdown. Since then, he has been devising a plan to keep his workforce safe and his business running. Meanwhile, small business owners like Ben Fisher, CEO of MagicCo – a 12-person company in Brooklyn, New York, have also been trying to solve challenges brought by the coronavirus-related recession.

Fisher said four of his employees were gravely affected and could not perform tasks adequately. Hence, he rearranged his team and have them work from home. In this way, he keeps his staff productive and his company up and running amidst the economic crisis.

More small and medium-sized entrepreneurs are taking the work-from-home route in helping their workers keep their jobs and saving their companies. These job creators have not only been taking measures in ensuring their employees have sustenance during the market crunch, but also to give back to their community.

For more on how to save your business and your employees’ jobs, here are some ideas which business leaders have shared.

1. Small Business Owners Should Revamp Incentives

During moments of crisis, such as the current pandemic, a lot of people will struggle in making ends meet. In particular, workers in an entry-level pay scale may not have enough to spend on needs such as lunch.

That’s why, Anda Gansca, Knotch co-founder and CEO, developed an incentive programme wherein her employees can receive $15 daily to subsidise their necessities. She also added a reimbursement payment of $50 per month for staff using their selected fitness app and equipment to help them adapt to their new work arrangement. She also assigned employees to lead virtual fitness classes online starting Monday.

2. Give Employees Time to Recover

The working class have been hit the hardest in the COVID-19 outbreak. Small business owners, then, are encouraged to give their personnel some time to survive and recover from the crisis.

Anton Morgulis, the CEO of Alberta-based 76 Group Co, has been negotiating with financial firms to postpone his company payments.  He reasoned this would give his tenants enough time to recover losses brought by the global market crash.

Morgulis said this is no longer about making money. He thought if we let the global crisis affect the business infrastructure, it will break society. For this reason, he wanted to do everything to keep it from cracking. If it meant postponing payments to help workers recover, so be it.

3. Secure the Families

Workers are not the only ones affected by the recession. Their families are most likely affected the most.

Many academic institutions across the world have closed their doors as governments took measures to pre-empt the spread of the virus. It means, more children are now at risk of food insecurity.

UNA Purchasing Solutions – a 12-person team, based in Kansas City, donated $5,000 to the local Boys and Girls Club, and another $5,000 to the community food bank, Harvesters in Topeka, KS. UNA’s Vice President of Growth, Anthony Clervi, also donated from his own money $5,000 to provide meals to families across Kansas City. He believes it will “turn into thousands of meals.”

4. Hire Laid-Off Personnel

Woolworths promised employment for most of the 20,000 Qantas employees who were stood down by the major airline company this week.

The unemployment rate in Australia may have been steady at 5.1 per cent in February. However, experts estimated there would be a rise in joblessness as more companies have been letting go of their staff left and right.

Hueman founder and CEO, Dwight Cooper, recruited laid off spouses of his team at his Florida-based company. He said there are two whom he has prepared for training. He also generated funding for emergency support for staff that were severely affected by the coronavirus pandemic.

At this moment of economic crisis, big and small business owners should be at the forefront in giving back to their communities and helping their workforces. By providing alternatives and creating innovative measures to secure employment and resources, business owners may aid in the recovery of the global market.

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