The Impact of the Great Recession on Workplace Stress

1097 Words5 Pages
In 2007, the U.S. economy experienced one of the greatest downturns since the Depression era, and furthered by the collapse on a global scale. The bubble burst on the housing market and the house of cards called the mortgage industry tumbled down, no longer able to sustain charade of success. This caused the collapse of some of the largest financial institutions, once thought to be immortal. This rippled into a massive tightening of the belts of many companies, as they found themselves without lines of credit, lack of business, and the daisy-chain collapse of their support networks. Who paid the final price? Companies cut costs through pay cuts, layoffs, and closings. While this may have saved jobs for many, the feeling of loss and…show more content…
If a respected manager can remain calm in stressful work situations, it is much easier for his or her employees to also remain calm. Employers can improve communication; consult with employees, create a friendlier environment. (Segal, Smith, Robinson, & Robert, 2012) Using employee led focus groups can help drive a more open environment to identify areas of stress and combat it head on. Finding ways to supplant the benefits lost in wages by creating greater work flexibility through varied schedules, telecommuting is another way to improve culture and reduce workplace stress. (Short, 2013) The Great Recession that began in 2007 introduced people to a feeling not since felt since the Great Depression of the 30’s and 40’s. It reintroduced a new generation to the realization that we cannot take anything for granted. It sprung up fears in a fearless population, and out of it born a stress like no other. We can harness that stress; we own it as individuals, employees, as employers, as caretakers of the future. Bibliography ABC World News with Diane Sawyer. (2009, April 22). How to Cope With Recession Stress. Retrieved February 5, 2013, from ABC World News with Diane Sawyer: http://abcnews.go.com/WN/story?id=7405603 AlleyDog.com. (1998-2013). Yerkes-Dodson Law of Arousal. Retrieved February 3, 2013, from AlleyDog.com: http://www.alleydog.com/glossary/definition.php?term=Yerkes-Dodson%20Law%20of%20Arousal Hall, A. (2012, October 24). Top Characteristics Of
Open Document