Steve Pham

I had a wonderful time at this year’s Intl. Pool | Spa | Patio Expo. One of things I most look forward to is being able to connect in person with industry friends. Unfortunately, more than a few faces were overcast with anxiety this year. When I probed a bit, a theme emerged: Many were looking to make significant career changes.

This wasn’t a looking-for-new-challenges-or-opportunities kind of change, but more of a desperate get-me-out-of-here-before-I-go-crazy change.

One person said that their company had downsized despite hitting their sales goals. The pressure of added responsibility and stress was overwhelming. They were tired of putting in an unrelenting number of extra hours with seemingly no end in sight. They weren’t sure if these changes were permanent or temporary, or even why the cuts had occurred.

Another was unhappy with management decisions. There was a growing lack of communication between the different divisions of the firm, which was causing problems with production. Customers were upset, and management’s response was to play the blame game. My friend felt caught in the middle and was angry and ready to quit.

This was very distressing to hear. These were hard-working, earnest and honest folks. Surely, their companies wouldn’t want to risk losing such star performers and would be open to feedback.

But in both circumstances, their input was ignored. They each received some lip service but ultimately nothing changed.

Then, on the last day of the Expo, I sat in on an informative Hayward School of Business session. My ears perked up when the teacher mentioned a term that perfectly described what was going on at my friends’ companies: mushroom management. It’s a term that apparently started as a joke in the late 1960s to describe a pervasive management style where employees are treated like mushrooms — kept in the dark and periodically fed some excrement.

If this breakdown in company communications sounds familiar to you, and you’re in a position of leadership, you must make changes immediately or risk losing valuable employees. What should you do?

Well, stop keeping them in the dark, for one. Transparency really is the key. In a 2015 survey by Geckoboard, a London-based company that offers data management solutions for businesses, more than half of the respondents said that, when bosses share information about the company’s overall performance, it made them more focused on their jobs and more productive. On the other hand, more than 75% said they lose confidence in their bosses when kept in the dark.

Additionally, even when the news was bad, a whopping majority — more than 90% — said they would want to know.

So be transparent! Begin by measuring key elements of the company’s performance. Then make sure that information is accessible and understandable to all. Once this level of transparency is in place, you’ll see a positive impact on employee retention.