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By: Patty DeDominic

Every CEO goes through this – you need to make team leader changes, and this requires that you demote someone who may have held that position in the past. This means that you’ll have to figure out how to deal with employee morale and maintain the work ethic that you value in your employees. Here are four tips for dealing with demotions that can help you bring your business through to a more successful future.


  1. Clarify, clarify, clarify.

Talk to your employees about why you are making these changes, specifically referencing the needs of the customers. Also bring up how this move fits in with your business plan and strategy for effective development. Ultimately, you are trying to streamline your business and make it more sustainable to ensure a future that is profitable, and as long as you are frank with your employees about this, they will feel excited to move forward with the changes rather than dissatisfied.

  1. Use care in dealing with the feelings and the ego of the persons you are moving around.

From your vantage point, it may make perfect sense to make the demotions that you are making, and it’s understandable to want your employees to all feel the same way. However, you can’t afford to be impatient with those who are directly affected by these changes and may be somewhat unhappy about them. Always be respectful of your employees’ feelings and take the time to hear out what they have to say.

  1. Pay attention to the signals you are sending.

Whether they come out unintentionally or intentionally, the things you say to the team (and to the public if you are a larger company) matter. Make sure that the language you use is always positive as opposed to negative; for example, you should talk about the positive things you are looking forward to with the new changes rather than what was wrong with the old positions. Be sure to share victories of the group so that people see progress being made.

  1. Help the person be successful in their new role.

Work with the person you are moving around so that they can still be a contributing member of the company and feel like they are making a difference. If you think that this is not possible, offer support in out placing to a new opportunity outside the company.


DeDominic & Associates is an award-winning business coaching and management consulting firm dedicated to helping you achieve your definition of success by developing innovative solutions. Contact us Today for a FREE booklet on hiring!

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