The economic downturn has brought millions of lay-offs, leaving most companies populated by employees who could be best characterised as “survivors”. As the recession continues, some companies will use this period to establish a platform on which to shape growth and success when the economy turns round. For others, declining performance will lead to wave after wave of redundancies in a seemingly inexorable downward spiral.

What differentiates the companies that will weather this downturn from the ones that will fail? The ones that succeed will be those that recognise that their lifeblood is the motivation and commitment of their remaining employees. While the traditional rewards that managers use to motivate employees, such as promotions, pay increases and bonuses are in scarce supply in difficult times, there are other steps managers can take, for free or at little cost, to strengthen morale.