Reference no: EM132288873

Bringing the real world to Life - Case Application: Stress kills: Part 2

Here is what recent surveys are telling us about employee stress:

• 75 percent of Americans say their stress levels arc high or moderate

• 44 percent of Americans say their stress levels have gone up in the last five years

• 81 percent of HR manager. say that employee fatigue is a bigger problem than in past years.

• More than 50 percent of U S and Canadian workers say that they feel fatigued at the end of a workday. At least 40 percent of those workers say that their jobs made them depressed

• 20 percent of U. K workers say they have taken sick lease brought on by stress. but 90 percent have lied about the real reason for staying home.

• 30 percent of managers say they're more stressed at work today than a year ago

• Reasons employees find work stressful low pay, commuting, excessive workload, fear of being fired/laid off. annoying covmckeri, and difficult boasts

As you can see. stress and its effects on workers u (and should be) a serious concern for employers When excessive pressure is placed on people from overwhelming demands Or constraints they often feel they've got no choices or options. At France Teldeom, the wave of employee suicides since 2008 was cause for concern. Trade union leaders "blame the allegedly brutal management culture of a company which has transformed itself over a decade from a ponderous state utility to a leading telecommunications company" However, for months. France Telecom management "dismissed the suicides as a contagious fad among its workforce." Unions then CrIll¬cutd the company for its poor choice of language.

The Paris prosecutor's office opened an investigation of the company over accusations of psychological harassment. The judicial inquiry stemmed from a complaint by the union Solid.uts Unglues Democratiques against France Telecom's former chief executive and two members of his top manage¬ment team The complaint accused management of conducting a "pathogenic restructuring" Excerpts of the inspector's report, although not made public, were published in the French media It described a situation in which the company used various forms of psychological pressure in an effort to eliminate 22,000 jobs from 2006 to 2005. Company doctors alerted management about the possible psychological dangers of the stress that could accompany such drastic change. Despite these findings, a company lawyer denied that France Telecom had systematically pressured employees to leave.

Company executives realized that they needed to take drastic measures to address the issue. One of the first changes was a new CEO, Stephan. Richard. who said his priority "would be to rebuild the morale of staff who have been through trauma. suffenng and much worse" The company also halted some workplace practices identified as being particularly disruptive. like involuntary transfers It is also encouraging more supportive practices, including working from home. A company spokesperson says the company has completed two of six agreements with unions that cover a wide nage of workplace issues like nobility and work/life balance and stress Despite these measures. another France Telecom worker committed suicide in April 201 1. A union official suggested that "the man had struggled with being made to frequently change jobs" The worker had written to management on several occassions about the situation and was believed to have had no reply. France Telecom's CEO. Stephan Richard promised a thorough investigation into the suicide "We need to analyze in great depth and detail what happened. It is my intention that this investigation will be particularly painstaking and transparent"

DISCUSSION QUESTIONS

1. What is your reaction to the situation described in this case' What factors, both inside the company and externally, appear to have contributed to this situation?