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Interclean Memo

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| |InterClean, Inc. |

Memo

To: First-Level Sales Managers

From:

CC: David Spencer, Janet Durham, Sam Waters

Date: 7/31/2010

Re: Management Behavior

As you all know, the announcement was made earlier this week that InterClean has acquired EnviroTech, one of our major domestic competitors in the corporate market. This merger is in line with InterClean's strategic direction giving us a greater market advantage. Within the coming months we will all need to work cohesively to ensure a smooth transition, keeping the lines of communication open and in the end, become a provider of services that fulfills the needs and demands of our clients while meeting the stringent requirements for environmental safety.

I would like to take a moment to reflect on the importance of the type of behavior successful managers demonstrate, illustrate the types of management actions that are in line with employment laws, and lastly explain some practices for working within a diverse environment. Success in these three areas is essential in a seamless transition in the upcoming months.

Managerial Behavior

As first-level managers, your behavior can have a great impact on employee's productivity. We all know that the atmosphere will be tense as we move through the transition, but we must remain positive and demonstrate excellent managerial skills to minimize the fears and worries of our employees.

Factors that affect productivity are awareness of people skills, knowledge of the system and procedures, equipment and tool type, products, knowledge of the employees, management skills, but the most important factor in productivity is the attitude of the managers and supervisors. (Shelar, 2008). As the merger nears, and restructure in the company occurs, the employees morale and loyalty may reach a low, and distrust and fear may also become evident, so it is vital that managers maintain a positive persona and relieve employees fears. Keeping leadership skills high during this phase of the merger will create a calm work environment thereby maintaining a high level of productivity.

Employment Laws

As first-level managers, you have a more close interaction with the employees and need to be aware of the employment laws. "Employment law can be one of the most pressing concerns for any company, from start-up hiring its first employee to a conglomerate facing a class action." (Gates, 2008). Managers need to be more aware of their actions not only on a daily basis, but especially in the merger phase. Employees may feel that they are being harassed, discriminated or wrongfully terminated, so it we must be aware of all employment laws.

All managers can all benefit by participating in both the Employment Law and Diversity training offered by Human Resources. Other tools first level managers can refer to are InterClean's Company Policies, Code of Conduct, Code of Ethics, Employee Handbook, and Managerial Standard Operating Procedures, (SOP's). It is a requirement of all InterClean managers that they are knowledgeable of employment laws, understand them fully, and follow them to the utmost avoid any unforeseeable lawsuits. It is vital that management actions are in line with employment laws. Compliance with the following laws will minimize any lawsuits.

1. Title VII of the Civil Rights of 1964

2. Fair Labor Standards Act (FLSA)

3. Family Medical Leave Act (FMLA)

4. Occupational Safety Health Act

5. American with Disabilities Act

6. Uniform Services Employment and Reemployment Rights Act

7. Immigration Reform and

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