MOHR Learning: Some Retailers Neglect Employee Issues in Slow Economy; Three Lessons for Stores When Business is Soft


RIDGEWOOD, N.J., July 18, 2001 (PRIMEZONE) -- With staff retention less of a challenge during a slow economy and downsizings common, some retail companies make the mistake of neglecting employee issues, according to Michael Patrick, President of MOHR Learning, a unit of Provant, Inc. "Given the pressures retailers face, they may be inclined to take staffing issues for granted, but they do so only at great risk," he said.

According to Patrick, retaining and developing employees is just as critical for retail companies in tough as in boom times: "The task has more to do with retaining the best people, keeping up morale after a staff cutback and maintaining a high level of customer service despite the turmoil. Retail leaders never lose their focus on the fundamentals, while retail losers easily slip into the lethal traps of thinking their employees are easily replaced and ignoring their needs."

According to Patrick, retailers should know three lessons about a soft economy:

1. Stores may actually lose their best employees in a slow economy. Good people can always find new opportunities, so retaining them should be a high priority even in a post-layoff environment. Letting employees know where they stand and treating them well always pays off.

2. Customers want quality service, even in a slow economy. Consumers are more hesitant to part with their dollars, so a positive retail experience is a must. Retail organizations need to intensify associate training, especially after a downsizing. Employees who are skilled and committed provide the best service and can achieve more in lean times.

3. Harm to employee and customer loyalty lingers long after the economy recovers. Smart retail management takes the longer view and does whatever is necessary to preserve their store's culture and customer relationships.

Training managers is particularly important in hard times, noted Patrick: "Managers are the sinews that hold a retail organization together and are those most responsible for employee satisfaction. But managers need attention too. If their morale slips, you can be sure it will be felt at the associate level, and inevitably among customers. And, of course, if managers don't treat the employees well, the store will suffer in many ways."

Headquartered in Ridgewood, NJ, MOHR Learning is the largest provider of retail training in the U.S. Among MOHR's clients are A&P, Barnes & Noble, Belk, Blockbuster, CDW, Clinique, Coach, Crate & Barrel, Dayton Hudson, Donna Karan, Duty Free, Eckerd, Federated Department Stores, Gap, JC Penney, Kmart, Kroger, The Limited, Nordstrom, Reebok, REI, Safeway, Sears, 7-Eleven, Value City, Victoria's Secret and Wal-Mart. For further information please visit www.mohrlearning.com.

MOHR is a unit of Boston-based Provant, Inc., a leading provider of performance improvement training products and services.

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CONTACT: MOHR Learning, Ridgewood
         Michael Patrick, President 
         201/670-1001

         Philip G. Ryan Inc.
         Public Relations
         Phil Ryan
         212/206-0033