As Nigeria grapples with rising inflation, currency devaluation, and increasing costs of living, employers are faced with an ever-growing challenge — how to respond to employee salary demands during economic crisis without jeopardizing business sustainability.
At OnePyramid Consulting, we understand that while salary increases are the most direct way to acknowledge employees’ needs, they are not always feasible in difficult economic times. So what can HR leaders and employers do to support their teams and maintain morale when a raise just isn’t on the table?
Here are five practical, people-focused strategies to help employers navigate salary demands during economic instability:
1. Transparent Communication Over Silence
Instead of dodging difficult conversations, adopt a policy of radical transparency. Be upfront about the company’s financial realities and explain, with empathy, why salary reviews are delayed or adjusted. Employees may not like the outcome, but they’ll value the honesty.
2. Implement Flexible Work Models
In a time when transport costs are skyrocketing, remote or hybrid work arrangements are more than a perk, they’re cost-saving necessities for many employees. Offering flexibility helps reduce the financial pressure on staff, especially those commuting long distances.
3. Introduce Non-Monetary Benefits That Matter
When cash is limited, value-based alternatives like mental health support, wellness days, learning stipends, or meal subsidies can make a difference. Even small gestures like discounted internet data, fuel vouchers, or wellness partnerships show that you’re tuned in to employee realities.
4. Revisit Recognition and Appreciation Systems
A timely “thank you,” a spotlight in the company newsletter, or a recognition board can elevate morale. These non-monetary recognition methods reaffirm employee value and strengthen the emotional connection between staff and the company.
5. Maintain the Feedback Loop, Even If It’s Uncomfortable
Some employers shy away from conducting employee satisfaction surveys during a crisis, fearing backlash. But honest feedback is essential it provides insight into what employees value most right now and guides better decisions.
Final Thoughts
Responding to employee salary demands during an economic crisis isn’t just about saying “no” gently. It’s about reimagining how value is delivered in the workplace. Nigerian employers who lead with empathy, creativity, and transparency will stand out not just as survivors, but as future-forward organizations ready to thrive.
At OnePyramid Consulting, we help businesses develop people-centric HR strategies that work, even in turbulent times.
Need help crafting an HR policy that resonates with your employees?
Author
Business Development Manager, Digital Marketing Executive at OnePyramid Consulting Limited
