A few weeks ago, we started a new series about how strong relationships are the backbone of a successful franchise. Business is social, so franchise owners must spend time cultivating relationships with the people around them. Our last article discussed 5 Ways to Develop Your Relationship with Your Franchisor. Today we will look at the importance of employer-employee relationships and how you can build better relationships with employees in your franchise.

Why Employer-Employee Relationships Matter

As humans, we all have basic needs that must be fulfilled in our personal and professional lives. According to Tony Robbins, these needs include certainty, uncertainty/variety, significance, connection, growth, and contribution. Not surprisingly, all these needs can be met (or not met) in the workplace. This is significant because 51 percent of US workers say they get a sense of identity from their job.

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By prioritizing employer-employee relationships, these basic needs can be met, and when they are, people thrive—you as a franchise owner and your employees AND the franchise business! So, what does thriving mean in a workplace setting? Here are some of the main benefits of strong employer-employee relationships. 

  • Employee satisfaction increases, which leads to greater employee engagement (a sense of mental and emotional connection to the job)
  • Employee loyalty increases, which means a higher retention rate (and all the benefits that come along with employees staying around long-term)
  • Workplace conflicts are reduced because both parties trust each other, and methods of communication have been established.
  • Employees are more motivated and happier, which increases productivity.
  • The workplace gets a reputation for having a positive culture, which attracts new workers (and helps especially in times of labor shortages).

This list makes it clear that promoting positive employer-employee relationships benefits both parties and the franchise business. So how do you cultivate better employer-employee relationships? Read on for our top tips.

7 Tips for Better Employer-Employee Relationships

1. Establish Trust Through Transparency

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Employees deserve to know the truth, so give it to them straight. Transparency helps build trust, which is the foundation of any good relationship. You can promote transparency by informing employees about decisions, explaining why changes are being made, speaking honestly when asked questions, and sharing business performance. For more ideas, check out this article.

2. Support Employees with Proper Training

Another way to build employer-employee relationships is to create a thoughtful training program that says to employees, “We care about your development and want you to succeed.” Training can also increase your trust in your employees to do the work, which can minimize micromanaging (a relationship and trust killer).

Technology is your friend when it comes to training your employees! For example, FranchisePhones by Clarity Voice is a cloud phone service that offers call recording and live call monitoring. These tools allow you to share the best examples of great phone service to help train new team members, and you can even coach employees live on calls with features like listen-in, whisper, and join.  

3. Promote Communication with an Open-Door Policy

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An open-door policy encourages employees to bring questions, complaints, and suggestions to your attention (or to the attention of a supervisor or senior-level manager). Creating an open line of communication allows employees to feel like a valuable part of the team.

And open-door policies work. One study of a national restaurant franchise found that adopting an open-door approach decreased turnover by 32 percent and saved the company $1.6 million annually. For some great open-door policy examples, check out this HubSpot article

4. Find Thoughtful Ways to Show Appreciation

Everyone wants to feel appreciated in the relationships they have with others, and employer-employee relationships are no different. Whether you are rewarding a job well done, celebrating a work anniversary, or want to do something ‘just because,’ your efforts will help employees feel connected to your business and their job.

So how should you show appreciation for employees? One of the best methods—ask them! Bring it up in a staff meeting, send an email, or you can even create an anonymous survey on a tool like Google Forms. For other ideas, we love this list of 37 Employee Appreciation Ideas Your Staff Will Love

5. Give Balanced Feedback to Encourage Growth

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Feedback is necessary for guiding employees, but it can also be used to build employer-employee relationships. The key? Make sure your feedback is balanced. Of course, everyone loves positive feedback, but if they never hear improvement-oriented suggestions, they may question the validity of the positive feedback. Balanced feedback, properly delivered, encourages employee growth. 

6. Create Shared Goals to Promote Teamwork

In many businesses, it can feel like there is a big divide between staff and management. Such a divide hurts relationship building, and one way you to build a bridge is by establishing shared goals. 

Shared goals create common ground and give more meaning to the work everyone is doing. The synergy that happens when everyone does their part to strive toward the common goal is incredible for building teamwork and relationships. For ideas on defining and communicating shared goals, check out this article.  

7. Get to Know Employees in One-on-One Interactions

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Building employer-employee relationships can be done at the macro level (for example, shared goals, team building, etc.) but should also be considered on the micro level. Every employee is unique, and you can build a relationship by getting to know them personally.

While team meetings may be the norm, plan time to talk to employees regularly in one-to-one interactions, outside of feedback and performance reviews. Use your one-on-one time to get to know the employee, find out if they are happy with their work, and learn if there is any way you can support them. Conversations like this will help you build a personal relationship with each employee that grows over time. For questions to ask during one-on-one meetings, check out this article.  

Better Employer-Employee Relationships = Happier Workplace

Cultivating better employer-employee relationships has many benefits. Perhaps one of the most important is that it promotes a happier workplace where everyone enjoys the work AND the people they are surrounded by. Choose at least one tip on this list and start working on your relationships with employees in your franchise. Not only will you enjoy the results, but you’re also bound to enjoy the process.