Twice in the last week, I gave a tip when I didn’t have to. I was surprised at the reaction. A delivery driver was so unexpectedly grateful and a counter worker at Dodger Stadium thanked my husband after I walked away. As the economy gets worse, more and more people are working 2 jobs, cutting expenses to the bone and forking out more at the pump and the grocery store. Tough choices have to be made as individuals. And, tough choices have to be made as business leaders.
As individuals, it is past time to get ahead of expenses if possible. If you are not using that streaming app, cut it. Use an app like Rocket Money to track where you are spending, or set a budget for Amazon purchases. Not going to the gym? Cut it and work out with YouTube. Old school concepts like having 6 months of expenses in a cash account are relevant now. You will sleep better at night.
From a business perspective, stay cash positive, too. The hope is that if you run your business well, it will take care of the team. If you must restructure, or lay people off – be kind. It will take them some time to find new positions in this economy. I’m seeing a lot of jobs going away due to the efficiency of AI. I’m also seeing a new round of jobs going off shore.
When I talk with midlevel managers and front line folks the anxiety about the future is high. They scrutinize the words and the body language of the boss. Casual comments can send them into a tail spin. Even executives in privately-held companies don’t know if their jobs are secure and some are actually being cut. Give them a reason to stay by being as transparent and honest as you can.
In all of this, be kind. Kindness still matters.
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