When the News isn’t Good
A Case Study By Lisa Bednarski
In 1999, Bata Industries Limited made a painful decision to reorganize its North American operations and invest in its Canadian retail operations. It was part of a strategic move to improve its competitive position and grow its North American business.
This decision involved the closure of its plant in Batawa, a company town built when Thomas J. Bata first immigrated to Canada in 1939. The decision affected 209 employees at the plant, which, in its prime, was the economic engine of the region.
Jeanette Jones, a senior counselor with Cohn & Wolfe (C&W), shares how the agency helped Bata deal with this issue and make the announcement.
Objective:
To sensitively communicate the decision to close the plant to all of Bata’s target audiences, while communicating Bata’s decision as a reluctant one.
Intended audiences:
“We had a number of internal and external stakeholders,” says Jones. “And it was very important to Bata and to us that we recognize the emotional reaction to this news. The Batawa community was built on that plant. We had to remember the people involved in everything we did.”
Strategies:
C&W met with Bata’s senior management team to discuss the impending announcement. The following strategy was developed:
*Establish a community investment program recognizing the significant contributions of Batawa employees and the importance of Bata to local enterprises and because the local community lacked the economic infrastructure to employ displaced workers
*Use face-to-face employee communication supplemented by other communication vehicles; targeted external communication and media relations formed the basis of announcement activities
*Identify spokespeople who could relay the announcement to employees with the dignity and respect they deserved
*Coordinate the announcement to employees in a timely, sensitive and responsible manner
*Develop materials that clearly communicate key messages to intended audiences in simple, easy-to-understand language
“We recommended the announcement be timed to coincide with the morning and afternoon shift changes at the Batawa plant,’ says Jones. Workers were given their next shift off.
“This helped Bata demonstrate its empathy with employees and gave them time to digest the information. It was also a safety measure so employees would not be distracted while working. Union representatives and government officials were informed prior to the impending announcement. Local community support and counseling agencies were alerted to the potential for increased service demand by faxing them a copy of the media release immediately after the announcement.”
Phone calls between Bata spokespeople and local government officials were immediately followed up with a personalized letter from Bata confirming the details. Detailed letters were distributed to customers and suppliers. Division managers followed up with personal phone calls to allay concerns.
A media release was developed for the Canadian marketplace, with a slightly modified version for the United States. They were distributed to business and news editors via newswire following the announcement to employees.
Communication materials were integrated into a binder together with corporate and employee data, industry statistics and other facts relating to the consolidation of Bata’s operations. The binder was distributed to all Bata spokespeople for easy access to information.
Bata’s switchboard operators were briefed on the procedure for handling media calls prior to the announcement and directed media inquiries to Bata executives.
Evaluation:
The plant closure announcement met established goals and objectives. In Batawa it was received without incident. As expected, many employees were upset but expressed their gratitude at being given their next shift off. Even during this dark hour, some employees turned their thoughts to the Bata family. Government officials appreciated Bata providing advance notice of the closure. The tone of the media coverage of the announcement was favorable.
“This was an emotional project for everyone involved,” says Jones. “But we provided the sensitivity the situation deserved, while achieving our client’s desired communications result.”
[Source: IABC/Toronto’s Communicator]
