According to translation company Thames Translations, 58% of companies that employ ethnic workers fail to provide extra help for them to understand the English language.
Thames Translations claims employers that engage a multilingual workforce will be in a better position to withstand the credit crunch.
Simon George, managing director of Thames Translations, said: "In crisis times, most communications are provided in written form or delivered in person by senior management, but it is important to remember many of these employees will not be familiar with words they do not use in everyday conversation.
"At a time when companies need to retain their best staff, they need to focus on ensuring all their employees understand their value and their role within the company and buy in to their plans for the business."
Employers fail to cater for needs of multilingual staff
Employers risk losing staff because they are failing to communicate effectively with a multilingual workforce.