Best practice for employee engagement during mergers and acquisitions

A merger or acquisition can be a stressful time for employees. They may worry about job security, changes to the company culture or even the future direction of the business. This makes internal communication an absolute priority for business leaders managing an M&A event.

Employee engagement matters

When employees feel informed, supported, and valued during the M&A process, they are more likely to stay motivated, remain productive and embrace the changes ahead. On the other hand, poor communication can lead to fear, low morale, and a potential talent exodus.

One of the key goals during an M&A is to ensure that employees understand the reasons behind the merger or acquisition and how it will benefit both them and the business. This not only helps reduce uncertainty but also creates a sense of purpose and alignment with the company’s new strategic direction.

Best practice for employee engagement

Proactive communication: Begin communicating early and often. Employees should never hear about major changes from external sources, especially the media. Ensure they receive updates as early as possible, even if the details are still being finalised. Regular communication fosters transparency and builds trust.
Empathy and reassurance: Acknowledge the emotional impact that an M&A can have on employees. Use empathetic language and reassure them about job security, the organisation’s continued values, and the steps being taken to maintain a smooth transition. Clear messaging around potential redundancies, role changes or departmental shifts will help reduce their anxiety.
Two-way communication: Encourage open dialogue between senior leadership and employees. Host town hall meetings, feedback sessions or Q&A forums where employees can ask questions and voice concerns. The aim is to share information and listen to staff.
Internal champions: Identify key employees or teams who can act as “champions” for the M&A, helping to communicate messages and keep their colleagues engaged and positive. These internal ambassadors reinforce the messaging and create a sense of ownership around the merger.
Clear and consistent messaging: Develop a messaging framework that clearly communicates the reasons behind the merger or acquisition and how it fits into the company’s long-term goals. Ensure all internal communications – from emails to presentations – are consistent and reflect the same core messages.