October 15, 2021

How Mergers Affect Your Employees

When a company merges or acquires another company, there are often repercussions that affect the employees of both companies. Sometimes these effects can be positive, but more often than not, they’re negative.

Physical Jobs and Responsibilities of Employees

In a merger or acquisition, both companies are often under the same roof. That means that its workers now have to take on additional responsibilities or physically move from their old location to a new one.

In addition, there may be layoffs and the hiring of new people for jobs they previously didn’t do. You may want to contact business attorney Irvine to help your employees understand their new responsibilities.

Job Morale and Productivity

Mergers and acquisitions can affect the morale of employees. Even if it’s positive, new job changes may cause anxiety among workers who aren’t sure how to cope with these changes.

If they’re laid off due to downsizing or closing down one part (or all) of the business, their productivity will also suffer because they may be upset and pessimistic about the new changes.

How to Minimize the Negative Effects of Mergers on Employees

Both ongoing and outgoing employers may offer their employees incentives to stay. These can include pay raises, bonuses, or other benefits as a way of saying thank you. That’s a token of appreciation for all their hard work.

How Attorneys Can Help

Attorneys may help ensure that any layoffs or job changes are legal and fair. An Irvine business litigation attorney, for example, can help ensure that the company is following all local, state, and federal laws when it comes to layoffs or downsizing.

Furthermore, they can also represent employees concerned about their job security during a merger or acquisition.

For more information on how mergers and acquisitions affect workers, contact Irvine business attorney from Brockmeier Law Group.




Let the experienced attorneys at Brockmeier Law Group help with all your legal needs. We provide services to clients in Irvine, Los Angeles, San Bernardo, San Diego, Orange County, and throughout all of Southern California. Contact us today.

Give Brockmeier Law Group a call at 310-425-3431.