The Uncertainty Principle

A: I’m glad you asked this question. So many managers feel that once the door has closed on laid-off employees, work should just resume as usual.

The truth is that layoffs make everyone feel unsafe (“What if it’s me next time?”), suspicious (“Can I trust my boss to support me?”), sad (“My friends are gone.”), and sometimes angry (“What a slap in the face! They worked so hard”). There’s no way “business as usual” can continue unless you address these emotions first.

I think you ought to meet with each of your employees one on one. Explain why the layoffs were needed and how difficult they were, and reassure each person (to the extent that you can) about the safety of his or her own job. Listen to each employee’s feelings, and ask if there is anything you can do to help restore their positive attitude toward work.

If morale is still low after these individual conversations, you might want to hold one or more staff meetings to provide closure for the mourning process and recommit to the future. This may sound very involved; but when you make the time to listen to your employees, to appreciate their talents and contributions, and to reassure them that they needn’t live in fear of losing their job tomorrow, it will be easier for them to regain their balance along with a modicum of hope and energy for the future.

Q: My conservative client insists that if the Democrats deliver on their campaign promises of universal health care, corporate bailouts, taxpayer rebates, and easier unionization, America will go to hell in a handbasket. He’s asked me to transfer all his money into investments denominated in Australian dollars. I think he’s panicking, but I can’t get him to think straight. What should I do?

A: Is it difficult for you to separate political bias from financial impartiality, or do you think you can truly listen to this client patiently and empathetically? If your views make you unsympathetic to his attitude, perhaps you can refer him to someone in your office who shares his political outlook. Or you might partner with this more conservative advisor in listening to and counseling your client.

The ideal scenario would be to meet this upset man where he is emotionally. Give him ample time and space to vent his fears and concerns. Listen compassionately, so that when he feels he has been fully heard, he will be willing to listen to your more balanced advice about the future. If you can, you might tell him of similar situations where a decision made in the heat of intense emotion proved risky and expensive.

After listening to him and advising him (either on your own or with a more politically in sync planner), you may find his insistence on Australian currency isn’t dented at all. In that case, you’ll have to go along with his wishes –documenting your reservations in writing, of course. There may be solace in the thought that at this time of relative uncertainty, at least one of you is sure of the right thing to do.

Q: I’m 58, and have enough years in this business to feel that I should be slowing down and relaxing more. Instead, I seem to be working harder and longer, and worrying more about my financial security and my clients’ outlook. This uncertainty has been keeping me awake at night, and it’s beginning to affect my confidence as a planner. What can I do about it?

A: First of all, I’d suggest a simple exercise aimed at helping you let go of your worries and anxieties. At what time of day do you worry most? At this appointed hour, take some time to write down a list of your concerns, including what you would or could do if the worst-case scenario happened. Then, put the list aside.

To calm your nerves, you might also post a soothing sentence where you can see it easily. This could be something like “You have the tools you need to handle all of life’s challenges,” or “You are not alone and all will be well.” Create your own positive affirmation to help you reconnect with a more positive state of mind.

There are many other things you can do to improve your sleep. Some people swear by warm baths, warm milk, or supplements like valerian or melatonin, while others find they need a prescription sleeping aid. Simply going to bed and getting up at the same time regularly can help. But the best solution is to identify the sources of your worry and come up with ways to resolve them, perhaps with the aid of friends or a counselor. When you reduce your anxiety, I think you’ll find you not only sleep better, but wake up to meet the new day with more enthusiasm.

In uncertain times, we would all do well to take a stress inventory. Consider asking friends, colleagues, and loved ones how you act when stressed; then determine what you need to do to move from this stress mode to your more balanced thriving mode. Maybe the answer is getting more sleep, compiling a daily gratitude list, summarizing which concerns you can control and which ones you can’t (and letting go of the latter), spending time with people you love, volunteering, or finding another meaningful way to give back.

Whatever it takes, try to shore up your reserves to weather the storms that roar through a world wracked with uncertainty. The more carefully and patiently you listen to your clients’ fears and concerns, the sooner they’ll be ready to brainstorm with you about stances and actions that will make them more confident about the future.

Olivia Mellan, a speaker, coach, and business consultant, is the author with Sherry Christie of The Client Connection: How Advisors Can Build Bridges That Last, available through the Investment Advisor Bookstore at InvestmentAdvisor.com. She also offers money psychology teleclasses for financial advisors and for the general public. E-mail Olivia at [email protected].