5 Steps Leaders Can Take To Reduce Workplace Uncertainty Amid Economic Instability

A lot of fear and uncertainty is rumbling through the economy and workplace, not to mention the tensions among world countries. Recently, I wrote a Forbes.com piece on how workers can stabilize themselves amid the turbulence. This piece is about how business leaders can preempt uncertainty and economic instability in the workplace. The science shows that uncertainty creates more work stress and takes a greater toll on your health than actually losing your job. When employees see their leaders as confident, consistent and predictable, they’re more likely to feel secure in their jobs. So it’s important for employers to remain level-headed, sensible and predictable and present a strong image, focusing on the solidarity of their employees in turbulent economic times. It’s important to practice offsetting catastrophic thinking by keeping the focus on an upside of a downside situation. And reminding employees that many gifts are contained in the unknown can be a game-changer. So how does that translate into practical, everyday interactions?

I reached out to Jack Newton, the founder and CEO of Clio, who started his company back in 2008 during the Great Recession. He has since grown it to a $1B-plus valuation and $100M ARR, supporting more than 150,000 customers and 900 employees globally. Newton offers some of his tips for how leaders can reduce workplace uncertainty and lead through uncertain times.

1. Have a clear mission. “As a leader, your mission drives everything you do. It’s what gets you out of bed in the morning and keeps you going when things get tough. It’s also what helps you recruit and retain some of the best talent in the market. People want to feel like they’re impacting a mission that matters. Having a ‘why’ behind what you do—and keeping it consistent—is critical to the success of any team, especially amid times of uncertainty. Find what inspires you and where you and your company can make a difference. Be open and communicative with your team, outlining how their work connects to your mission and how they are making a difference and helping achieve that mission. There are many paths to achieving company goals, and roadblocks pop up along the way. But mission-driven businesses, leaders and employees are well-positioned to weather any storm.”
2. Build trust in your team. “As a CEO—or any kind of leader or manager—it’s natural to stay close to the business and step up in new and different ways during times of uncertainty. But it’s important to clarify that you trust your team. You will earn their trust in return. Don’t micromanage your team on small tasks during times of uncertainty. Find the balance between autonomy and oversight, and empower your team members to take ownership of their work and make decisions independently. This way, you’ll free up time and energy to focus on strategic priorities and long-term goals. This will also build resilience into your organization.”
3. Remember that difficult times can be a catalyst for innovation. “I founded Clio during the Great Recession in 2008. It was a challenging fundraising landscape, and investors were cautious. But we saw a growing need and an opportunity to launch the first cloud-based legal practice management software, and because of this clear need, investors saw the opportunity. But this advice doesn’t just apply to today’s founders. Business leaders at all stages should focus on finding a path for their company that allows them to emerge from the downturn stronger. Encourage your employees to use periods of uncertainty to be more creative, seek innovative ways to solve problems and learn from their mistakes to prioritize growth and development during these uncertain times.”
4. Adopt an infinite mindset. “I’m a big advocate of Simon Sinek’s philosophy of adopting an infinite mindset, which involves framing the landscape of business-building as an infinite, instead of a finite, game. In building Clio, I’ve channeled this mindset to focus on the long-term and create a culture of innovation, essential for building a resilient and adaptable company. By establishing a solid foundation of values and purpose, leaders can create a culture of change that encourages experimentation, risk-taking and continuous learning—all essential during periods of uncertainty. Leading with an infinite mindset and encouraging your employees to do the same will help reduce workplace uncertainty among your workforce.”
5. Don’t be afraid to fail. “Embrace flexibility. Be willing to pivot and adjust your strategies and approaches as needed—especially to accommodate employee feedback. The ones who ‘win’ during times of uncertainty successfully reinvent their businesses to thrive in an economy full of disruptors, so it’s imperative to stay ahead of the curve.”