The Brave Art of Bad News: A Salute to Courageous CEOs

CEOs and presidents often find themselves in the unenviable position of delivering bad news to their employees. It's a task fraught with peril, akin to stepping into a lion’s den armed only with a whistle and a chair. Yet, those valiant leaders face the music themselves rather than hiding behind human resources, chief operating officers, or internal communications officers. I extend my admiration to these courageous leaders. It takes unique bravery to confront difficult reactions, manage anger, address tough questions, comfort the distressed, and wipe away tears.

Everybody likes to give the good news and take credit for it. That's when most leaders like the spotlight. The old saying, "Success has a thousand fathers. Failure is a bastard child," comes to mind. That's why I believe respect is due to those CEOs who muster the courage to do the deed when it is delivering bad news. It’s a role that demands fortitude and resolve. But what exactly qualifies as bad news? It's a subjective matter. Is it the announcement that raises will be minuscule this year? Perhaps the dreaded news that insurance policies are changing? Or could it be a restructuring, layoffs, increased parking rates, or—gasp—no more free Taco Tuesdays?

Predicting what will transform a roomful of employees into a scowling mob is an art. No matter how popular a CEO thinks they are, delivering bad news is it is like being a lion tamer. It's a safer job when the lions aren't hungry. Predicting what will transform a roomful of employees into a scowling mob is an art. But if you’re the bearer of bad news, there are a few cardinal rules. First and foremost, never, ever say: "You just need to be calm." Or worse, "You’re overreacting." These phrases are as effective as throwing a glass of water at a raging forest fire. Never in the history of the "calm down" has anyone calmed down when being told to calm down or adjusted their reaction upon hearing "you're over reacting."

So, what could you say instead? The key is empathy and clarity. Acknowledge the gravity of the situation and validate the feelings in the room. "I understand this is tough news" goes a long way. "I would like to offer support and a clear path forward, even if the path is rocky" does, too. Honesty and transparency are your best allies.

Avoid these other pitfalls when delivering bad news to employees. Ensure that your message is consistent across the board. Your subordinates should be equipped with the same message points. Employees will inevitably seek out their "rabbi"—their trusted confidant. If they hear conflicting information, it undermines your credibility and makes you look bad.

Delivering bad news is never easy, but with the right approach, it can be done with dignity and respect. So, to the CEOs who face the music head-on, we salute you. It’s a tough job, but someone’s got to do it. And remember, next time you’re tempted to say, "Calm down," maybe just hand out some free tacos instead. Elizabeth Schenk James Young Brian Hart