MANAGING CONFLICT DURING ORGANISATIONAL RESTRUCTURING

Restructuring can feel like mixing a new colour palette. For management, it may be exciting: a chance to refresh the business, introduce new systems, or strengthen leadership. For staff, however, it can feel daunting, even frightening, because it represents the unknown. In a salon, stylists may worry about losing their creative rhythm; in a spa, therapists may wonder how merged teams will share clients or adapt to new schedules.

Conflict often arises in these moments of uncertainty. The challenge for employers is not only to explain what restructuring means, but to guide their teams through it with empathy, clarity, and structure.

Why Restructuring Leads to Conflict

In labour relations, restructuring is more than a change in ownership or reporting lines; it is a shift in the psychological contract between employer and employee. Staff often feel uncertain about their future, unsure of their responsibilities, or anxious about how new hierarchies will affect them.

Conflict arises when these concerns are not addressed. It may show up as absenteeism, missed deadlines, or strained communication. In salons, stylists may resist new scheduling systems; in spas, therapists may feel overlooked when merged teams compete for clients. These tensions are not unusual; they are part of the human response to change.

For employers, the challenge is to recognise that restructuring is both an operational and relational process. Policies and compliance frameworks provide structure, but it is empathy, communication, and proactive leadership that prevent conflict from escalating into formal grievances.

Guiding Your Team Through Change

Instead of asking “What is restructuring?” the more useful question is: “How do I lead my team through restructuring without losing trust, performance, or morale?”

Three HR models provide practical guidance:

1. Lewin’s Change Theory: Unfreeze old habits, guide the change, and refreeze stability once new structures are in place.

2. Kotter’s 8 Steps: Communicate clearly, create short term wins, and empower staff during transitions.

3. Thomas Kilmann Conflict Mode Instrument: Choose the right approach to conflict: collaborate, compromise, accommodate, avoid, or compete, depending on the situation.

Questions Every Employer Should Ask

Use these questions as a guide when planning or implementing restructuring in your salon or spa:

1. What emotions am I noticing in my team?

Are stylists withdrawing, are therapists showing frustration, or are assistants uncertain about their roles?

2. Have I explained the reasons for restructuring clearly?

Do staff understand why changes are happening, or are they left guessing?

3. Which HR model best fits my situation?

   Lewin: Do I need to unfreeze old routines before introducing new ones?

   Kotter: Am I creating visible wins to reassure staff?

   Thomas Kilmann: Which conflict mode suits the current tension?

4. Am I offering support systems?

Do staff have access to counselling, peer networks, or flexible arrangements, or am I expecting them to adapt alone?

5. How am I ensuring compliance?

Are my policies aligned with the LRA, EEA, and OHSA, and am I documenting interventions fairly?

6. What cultural message am I sending?

Am I destigmatising conflict and encouraging open disclosure, or am I unintentionally silencing staff concerns?

Compliance Reminder

Restructuring is not only about operational change; it carries legal obligations. Employers must ensure that policies and procedures align with South African labour law, including the LRA, EEA, and OHSA. Many owners add a compliance check in during restructuring to prevent grievances from escalating.

Restructuring is both challenge and opportunity. For management, it is a chance to refresh and strengthen the business. For staff, it can be unsettling, but with guidance, it becomes a path to renewal. By asking the right questions, applying HR models thoughtfully, and leaning on the EOHCB for support, salon and spa owners can navigate change with professionalism, empathy, and confidence.