Are you wondering if your company is in jeopardy? It’s normal to worry a little bit about the financial health of your organization, but sometimes your concerns could be valid. Here are a few red flags to note to see if you’re getting anxious for no reason, or if you just might need to look for a new job soon.
#1: High Turnover Rates
A new manager every few months? Secretaries who quit every two Fridays? Widespread layoffs? High turnover rates could mean that trouble is brewing behind the scenes at your place of employment.
Whether the problem is that the HR department isn’t screening people accurately, or that the company can’t afford to keep its employees on a decent salary, high turnover rates are never a good sign.
#2: Serious Spending Concerns
Sometimes it’s the little things that show employees they should be worried about the future of their company. If the Keurig cups or supplies in your office suddenly haven’t been replaced in weeks, or if your former all-expenses-paid business trips come to an end, you might have something to be worried about. Cutting costs isn’t always necessarily a sign that your company is folding, but if the spending cuts are happening across various departments and in every area, big and small (from printer paper to catering), it might be time to tweak your cover letter and start looking for a new position.
Alternatively, your company could just be trying to improve its bottom line and be more careful about purchases. But major spending cuts that seem to come out of nowhere could indicate that your supervisors haven’t been managing their money well–and that’s never a good sign for your company’s budget or your job.
#3: Faltering Sales–With No Sign of Changes On the Horizon
The most obvious sign that your company is failing is that profits and sales margins are consistently low. There’s a natural ebb and flow at most businesses, but if several quarters or even years have passed and nothing is improving, there just might be trouble in store. The problem could be especially serious if company leaders appear worried, or if sales are at a record low.