Preparing for Trump 2.0’s First Moves and the New Era in Washington
Ahead of Inauguration Day on Monday (Jan. 20), President-elect Donald Trump continues to offer new comments regarding his plans for governing. These announcements include executive orders he intends to sign on Day 1, as well as other shifts in policy that have significant implications for the global economy. As with every presidential transition, there are policy changes and priorities for the incoming administration that will shift the narrative and business climate in Washington and around the country.
Every four years, these announcements should inform an organization’s planning to navigate shifts in the business, political and regulatory environments. Equally, leaders must consider how (and if) they communicate about the new administration’s policies with customers, employees, investors and other stakeholders.
Though President-elect Trump and his team are planning to take widespread action through already proposed executive orders on Day 1, there is a high likelihood of unanticipated directives to executive agencies, remarks he makes in his inaugural address and posts on social platforms that have additional implications for organizations.
Organization leaders, risk managers and communications teams should be prepared to monitor actively, and plan responses across a range of scenarios based on business objectives and organizational values. Special attention should be given to those scenarios that are closest to the intersection between the organization’s goals and the new Trump administration’s priorities.
Immigration and trade are two of his highest priorities and action on these issues in particular will permeate the national narrative, and may have a substantial impact on people, organizations and their employees, and industries in the U.S. and around the world. Audiences that are important to an organization’s success may respond in a sharply polarized and highly emotional way. Communications planning is critical.
Immigration and Undocumented Individuals
President-elect Trump, his nominees and his allies have made clear that one of his immediate priorities will be the deportation of undocumented individuals. These efforts have the potential to impact nearly every industry in some way because they will impact workforces, customers, supply chains and families.
Although many businesses and institutions do not employ undocumented workers directly or through contract labor providers, even organizations that are not affected by immigration action may experience a knock-on effect because of impacts to supply chains, workforces and communities. Although the incoming administration has said it believes it can take actions without undue disruption to business and the economy, the scale of proposed deportation is very large and untried.
Leaders at employers of all sizes should understand their organization’s vulnerabilities and, in addition to business continuity planning, should also have scenario-based communications plans in place. For example, executive orders for the immediate deportation of undocumented workers and expanded U.S. Immigration and Customs Enforcement actions, may lead to staffing challenges as both documented and undocumented workers stay home out of fear. This could compound challenges to organizations’ labor supply during a time of low unemployment. Organizations across sectors – especially those in agriculture, food and beverage, manufacturing, construction and hospitality – may also face increased scrutiny from immigration authorities.
Even if an organization is not directly impacted by these changes, they may be asked questions by employees, the media, elected officials or the local community. Communications teams should anticipate and address these questions now to be prepared.
Tariffs and Trade
Another top Trump priority is to install steep tariffs to advance his trade, economic and political priorities.
U.S. organizations will face increased financial pressure once U.S. tariffs impact the cost and availability of imported materials. They are likely to become more complicated if foreign countries enact their own retaliatory tariffs on U.S. imports, as some have promised. Businesses in the U.S. and abroad will need to consider how they address these costs, including whether they pass them onto their customers.
Regardless of size or sector, almost all organizations will be impacted in specific ways by the tariffs because they will have a sizeable impact on supply chains, consumer behavior and global trade. In some cases, organizations may realize a market advantage if competitors are more significantly impacted by tariffs. Communications leaders must prepare now for how to communicate these changes and consider how different audiences will respond.
Preparing for Communications
Understanding potential impacts – which may occur as early as Jan. 20, or at any point during the administration – and continually readying plans to activate against realistic positive and negative scenarios will help support business continuity and bolster corporate positioning and brand reputation efforts.
It is critical to have a finger on the pulse of sentiment among an organization’s most-important audiences, map scenarios based on shifting political and economic dynamics and be prepared to activate communications at a moment’s notice. Organizations will need to determine positions on the administration’s expected actions, and consider how their public positions may differ from privately expressed positions in the context of important relationships, such as with regulators or business partners.
Management teams and communications leaders will need to determine protocols for rapid, accurate response to both anticipated and unexpected situations, deciding in advance the principles and processes for how to communicate. These include decision-making around whether to respond – and if so, when – identification of priority audiences, staging and priority of internal and external communications, and choices of spokesperson, timing and channels.
Importantly, organizations must carefully evaluate if and how they will react given the organization’s (potentially polarized or easily activated) stakeholder groups, including employees, customers, partners, shareholders and local communities. In many cases, the best course of action will be to engage an industry organization to magnify support or deflect negative attention on a particular policy.
While this is normal practice, it is important for every organization to refresh its understanding of the current and expected positions their industry organizations will take on their members’ behalf on key issues. Organizations should also monitor and analyze how competitors and detractors are using industry and other groups for leverage or protection, and what they are saying and doing individually. It may be necessary to join new alliances or create new groups to achieve the desired results over the next four years. The time to make that evaluation is now, before a new affiliation is needed.
More broadly, mapping of risks, stakeholders and relationships coupled with an action plan and protocols will help organizations navigate what will be a rapidly changing political landscape during this second Trump term. Integrating this work into a strategic public affairs plan will ensure that communications responses are agile, rapid and protect an organization’s ability to operate and support its aims in Washington.
A wide range of government actions and policies will create opportunities and risks for every organization that is based in, operates in or does business with the United States. FleishmanHillard’s public affairs leaders, issue specialists and business sector experts are well prepared to help clients navigate today’s new era in Washington.
For more information, please contact FleishmanHillard’s public affairs team at [email protected].
