It has been another challenging year, hasn’t it?
And while it has felt closer to normal than the previous 12 months, covid has never strayed far from the centre of attention.
But amid the ongoing coverage of the pandemic, there have been some other crises – things that have gone spectacularly wrong.
Here are the ones that stood out for us and the lessons that can be learnt from them.
The mass Zoom firing
Let’s start our review with a crisis we have not previously covered in our crisis communication blogs.
Few, if any of us in the UK, had heard of digital mortgage company Better.com a few days ago.
But it made headlines globally after its boss Vishal Garg decided to sack 900 people in a brutal three-minute Zoom call.
In a video shared widely online, the boss of the US firm said: “I come to you with not great news. If you’re on this call, you are part of the unlucky group that is being laid off. Your employment here is terminated effective immediately.”
Bizarrely, Mr Garg had attempted to present himself as the victim in the announcement, saying: “This is the second time in my career I’m doing this, and I do not, do not want to do this. The last time I did it, I cried. This time I hope to be stronger.”
"If you're on this call, you are part of the unlucky group that is being laid off."https://t.co/bmtdxpWtto CEO Vishal Garg laid off more than 900 employees on a Zoom webinar just before the holidays. https://t.co/bLcxZ5aqJ8 pic.twitter.com/YAbJHHm99O
— CNN (@CNN) December 11, 2021
Market efficiency, productivity and performance were cited as the reasons for the mass layoffs, revealed the day after it was announced the company would receive “a $750m cash infusion”.
CEO fires 900 employees over Zoom call: ‘Your employment is terminated, effective immediately’ Independent
Better.com boss Vishal Garg sacks 900 staff over Zoom The Times
Better.COM CEO fires employees in a cold, one-way video announcement Forbes
‘Not great news’: US boss fires 900 employees on a Zoom call Guardian
Not only did the story put Better.com in the spotlight, but journalists began exploring Mr Garg’s previous conduct.
Forbes obtained an email he had previously sent to staff that said: “You are TOO DAMN SLOW. You are a bunch of DUMB DOLPHINS... SO STOP IT. STOP IT. STOP IT RIGHT NOW. YOU ARE EMBARRASSING ME.”
The Independent reported the boss had “been the subject of numerous fraud and financial misappropriation allegations at his previous companies.”
Subsequent stories claimed he also took to an anonymous professional network called Blind. Forbes reported he posted: “You guys know that at least 250 of the people terminated were working an average of 2 hours a day while clocking in 8 hours-plus a day in the payroll system?
“They were stealing from you and stealing from our customers who pay the bills that pay our bills...."
A few days after the story, The New York Post reported that Better.com’s head of marketing, head of public relations, and vice president of communications had all resigned.
Mr Garg is not the only boss to discover this year that a lack of empathy on a Zoom call can be hugely damaging.
Earlier in the year, Bill Michael, the then UK boss of KPMG, initially stepped aside, pending an investigation, and then resigned over comments he made during a staff Zoom meeting.
He told consultants during the virtual meeting to "stop moaning" about the impact of the pandemic and lockdown on people's lives, and to stop "playing the victim card".
He also went on to say that the concept of unconscious bias was “total crap”.
Around 500 people took part in the meeting. And many of them used an internal app to post their disappointment and anger about the comments, as well as Mr Michael’s dismissal of concerns about potential cuts to staff bonuses, pay and pensions.
Footage of the Zoom meeting was also leaked to the media, and the chairman’s comments resulted in extensive coverage.
The Downing Street party
On our crisis communication courses, we often ask delegates to explore the potential causes of crises for their organisation.
It is rare for someone to put something historic forward. But a crisis is not always caused by something that has just happened.
The run-up to this Christmas has seen the Government increasingly floundering over stories about a party alleged to have happened 12 months earlier.
The party is said to have taken place on December 18 2020, days after London had been put in Tier 3 restrictions that banned festive parties and lunches. The next day, as the party-goers may or may not have been nursing hangovers, further restrictions on our lives were announced.
Ministers spent a week denying the party had taken place, with varying degrees of conviction. Dominic Raab, for example, said: “If there is a breach of the rules, there is a breach of the rules, but I don’t know the full facts because I wasn’t there.”
Mr Raab, who is the justice secretary, went on to claim police don’t investigate things retrospectively. Who knew you had to report crimes in advance?
Despite the denials, there has been a steady stream of emerging details. The party, we are told, included Secret Santa presents, wearing Christmas jumpers and a “proper spread”. All of which, if true, suggests some planning.
And then footage was leaked of a mock Downing Street press conference, four days after the party date, where staff joked about the event. People could be heard in the clip laughing and referring to “cheese and wine”. And Allegra Stratton, who was then Boris Johnson’s spokesperson, said there was “definitely no social distancing.”
You know that Downing Street Xmas party that the government party denies ever happened, well @itvnews has exclusive footage of a mock Downing St press conference four days after in which head of broadcast Ed Oldfield and @AllegraCOP26 joke about it. https://t.co/PfWLmZeXQW
— Robert Peston (@Peston) December 7, 2021
That video created another batch of damaging headlines and moved the story beyond the news. Ant & Dec even referred to it during an ‘I’m a celebrity…’ segment.
Good evening, Prime Minister! 👀🤭@antanddec #ImACeleb pic.twitter.com/cekIFiwx8N
— I'm A Celebrity... (@imacelebrity) December 7, 2021
The morning after the footage emerged, Sajid Javid, the Health Secretary, was pulled out of the media rounds, that aside from looking cowardly and panic-driven, allowed the story to continue to grow.
The Met Police are now examining the footage of the rehearsed denial.
How damaging will the story prove? Time will tell. But, to paraphrase what our podcast host Julia Belle said during the first episode of The Media Landscape, if a journalist can identify who was present at the party, “there will be serious trouble.”
Until that happens, I’ll leave you with the words of Dominic Cummings, someone who you may recall found himself at the centre of a lockdown rule-breaking story when he decided to drive to Barnard Castle to test his eyesight.
He gatecrashed the Christmas party row to tweet: “V unwise for No10 to lie about this.”
Football’s own goal
The UK seems deeply divided at times. Football, however, found a way to at least briefly pull everyone together.
No, not England’s journey to the Euro finals. It was the plans to create a European Super League – supposedly designed “to save football” that brought people together. In anger.
Such was the opposition, that the plans drawn up by the most powerful clubs lasted just 48 hours.
As fans, governing bodies, politicians, players, former players, coaches, and pundits lined up to condemn the proposals, all six English clubs involved in the league quickly withdrew.
One of the most striking things about the story, and the resulting fallout, was how, after the plans were released, there was silence from those involved.
There was no attempt to try and shape the narrative, show the benefits of the new competition or control the story.
Journalists were desperate to hear from the clubs involved, but they said nothing.
Instead, the void was filled by those queuing up to condemn the plans, with nothing said to counter their opposition.
The communication didn’t get much better when the plans began to crumble. Liverpool, for example, posted on its website: “Liverpool Football Club can confirm that our involvement in proposed plans to form a European Super League has been discontinued.
“In recent days, the club has received representations from various key stakeholders, both internally and externally, and we would like to thank them for their valuable contributions.”
Poor statement. Some contrition from the shamed John W Henry would have been welcome. He’s let down staff, manager, players and fans. He’s badly damaged a great club’s reputation. #lfc #SuperLeague pic.twitter.com/1yzQkGWA8M
— Henry Winter (@henrywinter) April 20, 2021
After two days of turmoil and anger, supporters expected more. And they wanted an apology.
That did eventually come, for Liverpool fans anyway, in the form of a video from club owner John Henry.
Increasing numbers of organisations are using video when in crisis media management mode, and they can be an excellent way for organisations to talk directly to their audience.
Mr Henry handled his mea culpa moment pretty well, even if “disruption” seemed like an attempt to play down what had happened.
“I want to apologise to all the fans and supporters of Liverpool Football Club for the disruption I caused over the past 48 hours,” he said.
“It goes without saying but should be said that the project put forward was never going to stand without the support of the fans. No one ever thought differently in England. Over these 48 hours, you were very clear that it would not stand. We heard you. I heard you.”
He went on to say he had “let the supporters down”.
John W Henry's message to Liverpool supporters. pic.twitter.com/pHW3RbOcKu
— Liverpool FC (@LFC) April 21, 2021
Football, for now, seems to have returned to normal. But there are key crisis communication lessons to learn. It also serves as a vital reminder of the importance of consulting with the people who matter.
Had fans, players, managers, and even governments been consulted, the fallout may not have been as dramatic, and those involved would have been better prepared to handle the backlash.
Panic at the pumps
Cast your mind back a few months, and you’ll recall the country was gripped by a petrol crisis.
People spent hours waiting in queues at forecourts. Others went further and followed tankers, as 90 per cent of petrol stations run dry.
And the Government communication around this crisis left a lot to be desired.
Sometimes there was no communication. After a weekend that saw competition law suspended so the industry could work together to minimise disruption; mounting speculation the army would be brought in to drive tankers to forecourts; immigration laws easing to attract EU drivers; and reports the country’s second-biggest oil refinery was on the brink of collapse, you may have thought the Government would be proactively talking to the media.
Yet, on the Monday morning, no ministers were available to appear on TV or radio, despite the country grinding towards a halt.
The decision was lambasted by Susannah Reid and Alastair Campbell – who, like him or not, knows a thing or two about communication – on Good Morning Britain.
Ms Reid: “You would think that at a moment of crisis, communication was absolutely key. But we can confirm we do not have a minister of Her Majesty’s Government on the programme this morning, despite the fact, there is now a shortage of petrol on the forecourts.
“We don’t want to cause panic, but people are concerned right now because there is a massive shortage of HGV drivers.”
Mr Campbell added: “Having worked in government communications for quite a long time, I think that government communication is important at any time. But when things are a bit heated, and people are starting to worry about all sorts of things, then I think it is never more important.
“So, I think it is extraordinary that they don’t put ministers up to be challenged and debate, particularly as Parliament is not sitting.”
'You would think at a moment of crisis that communications was absolutely key.'
— Good Morning Britain (@GMB) September 27, 2021
'We can confirm we do not have a Minister of the Government on the programme this morning.'@susannareid100 and @campbellclaret question why no Government Ministers will appear on GMB this morning. pic.twitter.com/FWBU5KgnKo
On our crisis communication training, we stress how pivotal it is organisations constantly communicate when they are in the spotlight. You can’t over-communicate in these situations.
If you go silent, the media invariably fill the void with speculation and commentary. The Petrol Retailers Association, for example, gave plenty of interviews, discussing the measures leaders were taking to tackle the crisis. And speculating on whether they would work.
The crisis also served as another reminder of why the government needs to move away from its default ‘don’t panic’ messaging. Having seemingly learned nothing from the toilet roll shortages and empty shelves seen at the start of the pandemic, it again stuck with the messaging that encourages people to panic.
As pundit Andrew Pierce said on Good Morning Britain: “The moment you hear ministers say ‘don’t panic buy’, it is almost a green light to panic buy.”
It is trickier to say what the Government should have said instead. But it had options, as we outlined in our blog on the crisis.
Effective crisis media management involves reviewing what has, and has not, worked well in recent incidents, and not allowing the same mistakes to be repeated.
So, if the last time you told people not to panic resulted in fights over bog rolls and supermarkets stripped of everything edible, you surely can't be surprised that using it again results in more chaotic scenes.
Yorkshire cricket scandal
No look back on the crises of the past year would be complete without the scandal that propelled cricket on to the front pages.
The Yorkshire County Cricket Club racism scandal actually started in 2020. But such was the dreadful way it was managed, that it blew up this year.
The crisis centred on the racism experienced by former player Azeem Rafiq.
A painstakingly slow investigation into his allegations eventually found the player was the "victim of racial harassment and bullying". But concluded, "there is no conduct or action taken by any of its employees, players or executives that warrants disciplinary action".
Publication of the report was subject to delays, redactions and leaks, including a story that a racial slur directed at the player had been dismissed as “banter”.
As pressure on the club gradually grew, club officials, including chairman Roger Hutton, resigned. An extensive list of corporate sponsors cut ties with the club including kit suppliers Nike, Anchor Butter, David Lloyd Clubs, and Yorkshire Tea.
JUST IN: Nike have announced that they will no longer be Yorkshire's kit supplier.
— Wisden (@WisdenCricket) November 4, 2021
In a statement, they said: "We stand firmly against racism and discrimination of any kind.”
We have taken the decision to end our sponsorship agreement with Yorkshire County Cricket Club with immediate effect. ➡️ https://t.co/v19DHOxOGg
— HarrogateSpringWater (@HarrogateSpring) November 4, 2021
And former players, including Michael Vaughan - who has gone on to enjoy a successful media career – were drawn into the crisis.
The ramifications are still being felt. Earlier this month, the club announced a cull of its entire coaching staff as it attempted to “move on from the past”.
Looking back on the crisis, there are many issues with the way it was handled. Perhaps the part that stood out was the lack of communication from the top.
Mr Hutton didn’t say anything publicly about the crisis until he announced his resignation.
You don’t need to be a crisis communication expert to know that if the first thing you say on the subject comes during resignation interviews, you have waited too long.
Why did he not address the media when Mr Rafiq first spoke about his experiences at the club?
That would have shown the club took the issue seriously and that those at the top were accountable.
In the absence of any communication from leaders, there has been a succession of turgid and sometimes tone-deaf club statements.
Some of those did more harm than good and were met with accusations the club had been trying to play down the seriousness of what had happened. And, at other times, sweep the story under the carpet and move on.
One statement said the player had been the “victim of inappropriate behaviour”, which is so vague it lacks meaning. And it is worth noting that statement was released the same day a crucial Test Match between England and India was abandoned because of Covid – a good day to bury bad news?
You also can’t help but wonder if this crisis is the latest example of a clash between legal and comms strategies.
The reluctance to release report findings, heavily redacted versions, the lack of communication, and the stilted nature of much of what was said all hint at a heavy legal influence.
The need to protect reputation and the desire to avoid litigation can often conflict.
These two parts of organisations need to work closely to ensure crises are managed effectively (we can arrange training to help with that.)
But ultimately, organisations need to be aware the damage to reputation can be just as expensive, if not more so, than the cost of legal action.
That’s it for our look back on the crises of 2021. If you’ve got the appetite for more, check out our webinar from earlier this year which looked at how the British Medical Association managed the most intense and demanding crisis.
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