Spin Doctors Offer Bad Rx

Nobody likes bad news when it comes to cutting jobs and disrupting personal lives. For employers who care about staff and image, frank and fair disclosure is the best public relations policy, not spin.

It seems some folks forgot that wisdom recently in two instances, one involving Hewlett-Packard, the other with Sony Ericsson. In both cases, these companies got themselves more trouble than they bargained for by using poor judgment.

HP, in a news release, buried the fact it was cutting 9,000 jobs by putting emphasis on its plans for growth. Sony Ericsson advertised for a new PR director by bluntly telling the unemployed not to bother applying.

Nobody in a position of authority at either company saw any problem with these approaches, how they send the wrong message?

"HP to Invest $1 Billion to Launch New Era of Enterprise Services" was the headline for the Palo Alto, Calif., tech giant’s news release. On the surface, it sounds like good news – solid growth opportunity. But if you drill down, the news is not so rosy. In fact, it’s not good at all, unless you’re a shareholder.

“As a result of productivity gains and automation, HP expects to eliminate roughly 9,000 positions over a multi year period to reinvest for further growth and to increase shareholder value,’’ HP says.

Reporters worth their salt know the real headline is that HP will lay off 9,000 workers, as opposed to the $1 billion investment, writes Joe Ciarallo for PRNewser . The Spinmeisters at HP decided to bury the bad news inside what appeared to be positive news and hoped nobody would notice. With HP’s well-documented internal and competitive struggles in the past decade, why did it resort to such lame PR?

HP should have known better. Well-run, publicly-traded companies balance the needs of employees and the interests of shareholders, a win-win. You must have both parts of the equation to succeed over the long term.

HP did say that it will "add back about 6,000 jobs in its global sales and services staff ," according to the San Jose Mercury News.

The net reduction of 3,000 jobs represents roughly 1 percent of HP's 304,000 employees worldwide, reports Brendon Bailey of the Mercury News. HP provided no details, but the cuts are likely to be concentrated in operations that HP took over from Electronic Data Systems, a global tech services company based in Texas, which HP acquired in 2008, according to Bailey.

The online headline for the Mercury News story – “Hewlett-Packard to cut 9,000 jobs, take $1 billion in charges” – captured the full flavor of HP's moves. (Disclosure: As a former newspaper copy editor, I appreciate clarity).

Sony Ericsson, a consumer electronics manufacturer headquartered in Stockholm, Sweden, offended many with a recruiter’s advertisement which essentially tells unemployed individuals their applications for the company’s PR director job will not be considered. Does SE think there aren’t any terrific PR folks out of work? Sure sounds that way with such a bonehead ad which damages the company’s reputation. And, judging by comments at LinkedIn, SE needs to do some serious damage control if it wants to attract talented individuals for any of its future job postings.

While the unemployed and underemployed are not protected categories under U.S. anti-discrimination laws (gender, race, age, sexual orientation), it’s hard to imagine anyone not taking offense with what amounts to be a corporate policy statement by SE. At minimum, it shows a lack of sensitivity to those out of work through no fault of their own.

As one LinkedIn commenter points out: “The (flawed) assumption of employers who post positions but refuse to accept applications from people who are not currently employed is that unemployed people were bad employees who deserved to lose their jobs. They seem not to recognize that there is a global recession which caused many companies to go bankrupt or cut back severely in order to survive.”

Many folks are out of work or underemployed because of poor decisions made by corporate officials or by company owners who prospered in the boom days. But now that things have soured with the Great Recession, these same employers feel unmoved to take the extra step of looking closer at applications by experienced workers seeking jobs.

The SE recruiter (possibly from pressure by social media?) has toned down the language in the PR job opening ad, according to another LinkedIn commenter, who noted the ad still stresses the need for current employment in consumer electronics manufacturing.

Bottom line: It’s likely some very qualified individuals will seek work elsewhere as a result of this SE episode.

The lessons from HP and SE are basic ones for any company or business, large or small. Manage your image and reputation carefully. Fail to do that and any situation – from a news release to a job advertisement – can lead to unintended consequences.

As most of us know, nothing really ever dies or disappears in virtual world. In the absence of sound judgment and common sense, employer PR miscues can have long-lasting impacts.

As for me, I practice what I preach at writenowworks.com.

Toyota: Driven To PR Distraction

Toyota's continuing public relations nightmare serves as a reminder to business, big and small, about avoiding delays of any kind in crisis management.

The world's second largest automaker (after German group Volkswagen-Porsche) is fighting an uphill public relations battle as the U.S. government turns up the heat for Toyota to fully disclose all information in connection with next week's congressional hearing about the company's recalls.

Gas pedals, brakes and steering are all under scrutiny. And, with each daily report about another issue involving Toyota's vehicles, it seems to slip deeper into the quagmire of bad news.
Initially, Toyota seemed hesitant to acknowledge a problem with its vehicles' gas pedals. Instead, the automaker insisted the problem was the direct result of floor mats trapping the pedals, in an apparent effort aimed at minimizing the problem's scope.

The road back for Toyota Motor Corp. appears to be long and winding, filled with bumps and potholes. Yet, even now, TV commercials aside, Toyota's top executives still don't seem to grasp the crisis in consumer confidence.

In Japan, President Akio Toyoda said he did not intend to appear at congressional hearings next week in Washington, preferring to leave that to his U.S.-based executives while he focuses on improving quality controls, The Associated Press reported. Toyoda, grandson of the company's founder, said he would consider attending if invited.

Hello, waiting to be invited? I guess Toyota didn't pay much attention when the top executives of the Big 3 American automakers flew corporate jets into Washington, D.C., to discuss taxpayer bailouts. It's style and substance, folks.

In an attempt to reassure car owners, Toyota said it would install a backup safety system in all future models worldwide that will override the accelerator if the gas and brake pedals are pressed at the same time, the AP reported. Acceleration problems are behind the bulk of the 8.5 million vehicles recalled by the automaker since November.

The emergence of potential steering problems
with Corolla presented another roadblock in the automaker's efforts to repair its image of building safe, reliable vehicles. Dealers across America are fixing accelerators that can stick, floor mats that can trap gas pedals and questionable brakes on new Prius hybrids, according to the AP.

Toyota executives will face scrutiny in America, where the Transportation Department has demanded documents related to its recalls. The department wants to know how long the automaker knew of safety defects before taking action, the AP said.

Reports of deaths in the United States connected to sudden acceleration in Toyota vehicles have surged in recent weeks, with the alleged death toll reaching 34 since 2000, according to new consumer data gathered by the U.S. government, the AP said.

The bottom line: Toyota should be held to the same safety and accountability standards as U.S. automakers. That is the very least American consumers have a right to expect.

As for me, I practice what I preach at writenowworks.com.

Your Public Image Takes Work

Public relations has taken center stage of late with recent tawdry relevations involving golfing great Tiger Woods and talk show host David Letterman. One could argue Letterman's folks got it right and Woods' guys didn't.

Hits and misses also come into play for business, organizations and individuals when it comes to public image in the local arena. When something goes wrong, defenses kick in and the natural instinct for many is to flee.

I recently to spoke to a group of business owners about the need for public relations management. Based on my 30+ years in the newspaper industry, I suggested the following as basic guidelines:

· Accept responsibility for what happened (set higher standards).
· Correct false or misleading info as it arises (set record straight).
· Disclose miscues and conflicts of interest (even minor ones damage).
· Implement changes to correct the situation (action is empowering).
· Say what you do and do what you say (conviction reads sincere).

Some of the guidelines are easier than others. But think about them in the context of the Letterman scandal. He used his show as a very public venue to do most of what's on the list. Putting aside his and his organization's motivations, the Letterman case will be used in PR discussion for years to come.

Of course every situation is different, but when it's the business you built, there's no second chance to do it right the first time. The first few steps in the early hours can make all the difference in reaching a better outcome.

I practice what I preach at writenowworks.com. Your thoughts on good and bad PR, what works and doesn't?