The Impact of M&A on Banking Employee Engagement - A Case Study of a Bank in Taiwan

合併對銀行員工工作投入度之影響Many studies concluded that higher employee engagement can lead to higher employee loyalty (i.e. higher retention), higher profitability, process efficiency, and higher client satisfaction. This paper uses a case to analyze the impact that mergers and acquisition (M&A) have on employee engagement. The case managed to maintain high level of employee engagement despite uncertainty, changes and cultural differences caused by M&A. The five key findings are: 1) Five Stages of Loss explains the time required for employees to accept changes. If amalgamate date can be set after most employees have reached the acceptance stage, the employee engagement can be better maintained. 2) Employees can accept change faster if they are change receiver but slower if they are change deliver. More communication can help to achieve employees’ buy in. 3) “No Job Loss” commitment is useful to maintain safety and physiological needs. With it, the employees can better teamwork and adapt to changes. Without it, employees will fight for sparse positions and not focus on adapting to changes. 4) Theory Natural Selection means that un-fit employees will exit in the long term. On going fix of issues can reinstate employee engagement and avoid losing of high performing talent. 5) Acquirer should establish positive brand to gain employee trust