Merger or acquisition? Don’t overlook your HR matters

Aligning policies and employment conditions

When two organizations merge, their systems, processes, and agreements must also come together. Employment terms, pension schemes, compensation structures, working hours, and potentially different collective labor agreements all need to be reviewed. This requires clear decision-making and a careful, structured approach. It’s essential to take the time to harmonize policies and employment conditions. It is also important to understand the legal employment frameworks, such as comparing employment contracts and assessing the (im-)possibilities of gradually adjusting employment terms. Where to start? Begin with a gap analysis of the HR policies: map the differences, assess the impact of each element, understand the legal options, and weigh them against organizational interests.

Clarity around organizational structure and job architecture

A merger or acquisition often brings a new organizational structure, which directly impacts roles, job descriptions, and compensation. It affects the job architecture, including job classifications and salary structures. Transparency is crucial: which positions remain, change, or disappear? How will employees be graded? What career paths will exist in the new organization? A well-structured job framework provides both clarity and fairness—two essentials during times of change. To offer employees clarity, ensure your new structure is not too abstract. People want to know where they stand. Involve both managers and employees in (re)designing the job framework and development opportunities. This creates support and helps retain essential practical knowledge.

Culture and identity: the invisible game-changers

It’s often assumed that cultures will naturally align—but this rarely happens. Cultural integration is one of the biggest challenges in mergers and acquisitions. Even when organizations seem similar—for instance, because they offer similar products—there may be significant differences in leadership style, decision-making, or customer approach. These differences can cause friction if ignored. This is where HR and leadership play a crucial role. One common risk in mergers is the loss of talented employees. Bridging the cultural gap and creating a shared identity are key to retaining talent. That’s why it’s vital to address culture explicitly. Organize (interactive) sessions where teams and managers can discuss culture, values, and collaboration. What are the habits in both organizations? And what fits the future? These conversations open the door to a shared identity.

The essential role of the management team 

Mergers and acquisitions raise questions among employees: What does this mean for my job? Will I still have a place? Do I fit into the new organization? The management team plays a critical role—not just in providing direction, but in engaging employees, listening, and building trust. Teams also need time and support to get to know each other, collaborate, and develop new routines. When employees are involved and feel heard during the integration process, they stay connected to the organization and each other. Invest in team coaching and leadership development. This equips managers with the tools they need to lead effectively and helps teams build trust and collaboration. How do teams get to know each other? How do you foster collaboration and psychological safety? And how do you ensure everyone feels seen?

The value of a fresh perspective in mergers and acquisitions

Mergers and acquisitions bring both opportunities and complexity—especially when it comes to integrating people, processes, and cultures. Aligning employment conditions, coordinating policies, and retaining talent require careful decision-making and experience.

An external HR professional can offer a fresh, independent perspective on the situation. This helps avoid blind spots and accelerates the process, using best practices and proven methods. For your organization, this brings calm, structure, and greater employee engagement—exactly what’s needed during a time of change. Want to learn more or discuss this topic? Our HR consultants are happy to support you.