Accounting firm KPMG UK announced last month that it has made plans to cut its administrative assistant staff by almost a third – about 200 people – in an attempt to cut costs to the business.
In the same month, around 9,000 Thomas Cook employees were told they face redundancy as a result of the company’s collapse – although that figure has been reduced by 2,500 due to a buy-out by Hays Travel. And just this week, HSBC bank was reported to be about to axe 10,000 jobs as a cost-cutting exercise.
So, unsurprisingly, the UK jobs market is looking unstable and coupled with the uncertainty over Brexit many professionals are worried about the threat of job loss and the damage it could wreak on family finances.
But redundancy can also be an opportunity, says UK-wide recruitment expert, Lily Shippen.
“So it’s really important not to panic. If a firm is offering a voluntary redundancy programme, you could move on — and maybe even change career — having negotiated a valuable lump sum. It’s all about keeping your nerve and thinking through the options methodically.”
If an employer is insolvent or becomes insolvent during the redundancy process, some payments are guaranteed by the government, such as statutory redundancy pay, notice pay, holiday pay and so forth (subject to a cap).
So, how to be proactive in the face of job loss? Lily says it’s important to have a back-up plan.
“Having a plan gives back an element of control and will make you feel like you are doing something. Find some time to read up on current trends in the job market, get your CV updated as well as your LinkedIn profile and start making a concerted effort to put in place a 'Plan B' if you are made redundant.”
Lily says those facing job loss should think about whether there may be ways to persuade a current employer to keep them on. The consultation process, if carried out properly, is designed to come up with ways to avoid redundancies and find suitable alternative employment if there is any.
“For some people, accepting a lesser role, lesser pay or fewer hours is still a better option than losing their job altogether so it is always worth asking if this is an option for you. It won’t suit everybody though.”
Lily’s tips on how to survive redundancy:
- Take some time to think about what the right role for you is going forward and make sure that your CV is tailored to this. Give your CV to a specialist recruiter and ask for honest feedback on it.
- If you have worked for the same company for a number of years, the chances are that you will be out of practice when it comes to interviewing. Familiarise yourself with competency-based interviewing and practise talking through your CV. Make sure that you talk about the redundancy in a positive way in any interview
- Utilise your contacts on LinkedIn – it’s worth updating your profile and connecting with contacts who may have opportunities for you.
- Taking temporary work in the interim can be a great way of exploring different industries and finding out what you want to do going forward.
