Leading Through Tough Times: How to Look After Your Team and Keep Culture Strong

Right now, a lot of Kiwi businesses are doing it tough. With public sector cutbacks, rising costs, and a bit of uncertainty in the air, many owners and leaders are having to make some hard calls. Restructures, tightened budgets, and shifting priorities are becoming the norm.

But one thing that shouldn’t be lost along the way is your workplace culture. In fact, it matters more than ever when things get challenging.

Here’s some practical advice for how to lead through this period while keeping your team connected, supported, and in good spirits.

1. Be Honest and Keep People in the Loop

When things are uncertain, people naturally worry. The best way to ease that is with open, honest communication. Share what’s happening with your business — the good and the tough stuff. Even if you don’t have all the answers, letting your team know where things stand helps build trust.

Tip:
Hold regular catch-ups where people can ask questions and leaders can give updates, even if it’s just “we’re working on it”.

2. Look After Your People’s Wellbeing

Tough times can take a toll on people’s mental health. Make sure your team feels safe to speak up if they’re struggling, and that they know where to get support.

For example, encourage managers to check in one-on-one, share info about EAP or other wellbeing services, and be flexible about workloads and hours where you can.

3. Remind Everyone Why You’re Here

When things feel a bit shaky, it helps to refocus on what your business stands for. Remind your team of your purpose and values — and how those are guiding your decisions, even the hard ones.

For example, if you have to make role changes or cuts, explain why, and how you’re trying to handle it in line with your values.

4. Think Creatively Before Cutting Jobs

If you’re under financial pressure, redundancies might seem like the only option — but it’s worth looking at other ways to save costs while keeping your people.

Some ideas include: offer voluntary reduced hours or unpaid leave, consider job-sharing or temporary role changes, or you could look to upskill employees for other parts of the business.

This shows your team you value them and are doing what you can to keep them onboard.

5. Don’t Forget to Celebrate the Good Stuff

When everyone’s heads are down, it’s easy to miss the wins. Take time to recognise great work, small victories, and moments when your team pulls together. It makes a big difference to morale.

Some simple ways you can do this are through a quick shoutout in a team meeting, a thank-you email, a morning tea or shared lunch (even on a budget!)

Final Thought

Leading through uncertain times isn’t easy. But if you focus on clear communication, looking after your people, and sticking to your values, you’ll come out stronger on the other side — with a team that’s still connected and proud to be part of your business.

If you need help leading through these tough times, then please give us a call at ColourHR – we’d love to help!