You are the director of marketing. Your department has been doing well, but the company as a whole has been losing revenue steadily each quarter. In an effort to stay in business, the company is reducing the salaries of all employees by 15 percent. You need to inform your employees. Your employees are expecting that there will be a pay reduction and unanimously voted to reduce salaries rather than fire employees to balance the budget.

Which outline would be most appropriate in this situation?

Option 1

I. Inform employees of 15 percent pay cut and the facts of the company’s financial situation
II. Provide alternatives to strategy
A. Unemployment
B. Bankruptcy
III. Close with goodwill

Option 2

I. State the facts of the company’s financial situation
II. Explain
A. The reasons why the company needs to take drastic action
B. The benefits of the company’s strategy
III. Inform the employees they will receive a 15 percent pay cut
IV. Close with a forward-looking statement

option 3

I. Inform the employees they will receive a 15 percent pay cut
II. State the facts of the company’s financial situation
III. Explain
A. The reasons the company needs to take drastic action
B. The benefits of the company’s strategy
IV. Close with a forward-looking statement