This story first appeared in the July 2001 issue of Entrepreneur. To receive the magazine, click here to subscribe.

When times are rough around your campfire, you may be tempted to halt those "free-bagel Fridays" your employees are so fond of. But before you take the hatchet to employee perks, heed the advice of Richard Hadden, an employee relations expert and co-author of Contented Cows Give Better Milk (Saltillo Press): "If things have to be taken away, take them from the [executives] first."

Top 5 Perks to Cut

1. Executive trips and toys
2. Non-job-related classes (i.e., yoga or craft classes)
3. Extensive travel
4. Gym memberships
5. Concierge/convenience services

Top 5 Perks to Keep

1. Child-care services
2. Employee community-building activities (i.e., free-bagel Fridays)
3. Work/life balance programs (i.e., paid time off, flextime)
4. Job-related training
5. Hotels for business travel