What is a common outcome when a manager fails to address rumors promptly?

Study for the Penn Foster Principles of Management (BUS 110) Test. Review core concepts with flashcards and multiple-choice questions, each offering hints and explanations. Prepare effectively for your exam!

When a manager fails to address rumors promptly, it often leads to heightened employee anxiety and resentment. This occurs because uncertainty and lack of clarity can create an environment where employees feel insecure about their roles, the stability of the organization, and the direction in which it's headed. Rumors can spiral out of control, filling the communication void with speculation and fear, which contributes to a toxic work atmosphere. Employees may experience heightened stress as they are left to interpret situations based on hearsay rather than factual information.

Furthermore, when leadership does not take the initiative to clarify misunderstandings or provide transparent communication, it can erode trust between employees and management. This lack of timely intervention can lead to a decline in morale, as employees may feel neglected or undervalued, believing that their concerns are not taken seriously. As a result, it is crucial for managers to effectively and promptly address rumors to maintain a positive and productive workplace environment.

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