Thursday July 29, 2010 3:43 pm  

Promises and perils of furloughs

by Michael Tomlin
Published: March 8,2010
Time posted: 11:56 am
Tags: , ,

Michael Tomlin

Michael Tomlin

It seems like a magic bullet. Out of payroll money? Just furlough some folks and the money comes back to you. That is the University of Idaho’s plan, and they are not alone.

For many of us a couple of furlough days are preferable to a permanent salary reduction. At least we don’t have to negotiate our salary back up when times get better. And hey, who doesn’t like a day off, even if it is forced? Any way you look at it your situation is better than losing your gig altogether.

The challenge with furloughs though is that you cannot furlough the work. This leads to two major problems. Number one – good people do the work regardless, and thus demonstrate that “by definition” they were overstaffed. If you get the work done in fewer hours or days, then you should have been doing so from the outset.

That creates a “Catch 22,” in that you must not get the work done in order to protect yourself, other staff, and man hours; but of course at the same time you must get it done to show you are a good soldier with the organization’s interest at heart. And that is what you do…as good people.

But the “good people” phenomenon is fragile and has a shelf life. It works up and down the salary chain as people are not going to let their organizations fail due to the silliness of forced days off, yet over time classic Herzberg will ultimately prevail. What you as management “give” to employees will not increase motivation or loyalty, what you take away will certainly erode same.

Enter now the second problem which is the work itself. Somebody paid for it. At universities, students paid for a set of services and it is hard to see how they get what they paid for if employees take extra time off. Exactly what time off did they take? Lesson prep time? Assignment grading time? Textbook ordering time? Student advisement time? Students can only hope it is “bill them for their tuition, time.”

But furloughs it is for U of I, and furloughs it will be for other state agencies and numerous school districts. The strategy will surely protect jobs, and thus some customer services. But it needs to be carefully seen for what it is – a perilous short-term solution to a critical situation.

Damage will need to be addressed on the upside of our financial roller coaster. And not just money. Employers will need to repair what will be lost in employee pride, motivation, and dedication when we come out of this recession. And a few days off will not do the job, even with pay


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