Howes and Wirth decided to blow their own cover by stepping out together at last week’s Melbourne Cup, braving the public scrutiny, and generating headlines.
Earlier this year, Stephen MacMillan, the CEO of medical devices maker, Stryker Corp, lost his job after he allegedly revealed that he was involved in an office romance. MacMillan actually sought permission from his superiors to date the woman involved, the Wall Street Journal reported. The company granted permissions on the basis that the woman left the company, which she did, but MacMillan lost his job when it emerged later that the relationship started before she left.
Douglas says there is one absolutely clear-cut case for disclosure: when the relationship is between a leader and their report. “In a chain of command, the rest of the team feels the unfairness of the situation,” he says. “Any part of a business that allows itself to be subjected to gossip really is undermining the productivity of that area. People are going to spend their life talking about it.”
Training and good sense aside, work relationships happen. Often. Even those between older, married executives and those much their junior.
The most common response, and the least effective, is to turn a blind eye. Says Douglas: “The reality is that is that people don’t step in. No one is willing to press the button, especially when we are talking about a very senior person. No one wants to have the discussion.”
1. One or both parties leaves
The most common solution is for one or both parties to leave the workplace once a relationship forms, resolving reputational, leadership and conflict of interest issues in an instant. However, companies can still lose a lot. The leaving parties will take with them skills and experience, intellectual property and even clients.
2. Be very circumspect about building a relationship
If you fancy someone who reports to you, be very careful not to use your power to influence their feelings, says Douglas. For example? “Don’t take advantage after a few drinks, [or] don’t give your favourite girl all the best work and the others all the shit work.”
3. ‘Fess up
‘Fess up the moment you form a relationship with someone who reports to you, or to whom you report.
4.Resolve issues
Realise that relationships rarely stay secret … take the initiative to resolve issues.
5. Sign a “love contract”
Not common in Australia but used widely in the US and the UK, parties agree to a love contract agree that it is consensual, and to a course of action should the relationship break down.
6. Keep a tight watch
Keep a tight watch on work functions and overtime. Most relationships start at after-work drinks, lunches, happy hours and late nights at work.
Kath Walters is the editor of LeadingCompany and an award-winning journalist of 15 years’ experience. Kath was previously a senior writer and editor at BRW magazine covering management, strategy, finance, entrepreneurship and venture capital across all industry sectors. In 2006, Kath won the Citibank Award for Excellence in Journalism (General Business). Follow her on Twitter.
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