“It could happen to me.”

Your manager schedules an unexpected catch-up meeting, with a neutral-sounding title. Without really thinking about it, you go into the meeting room/log onto the Teams/zoom call. They look serious. They have some news, they say, and a letter for you. The company has been reviewing your role and they are sorry but there is a proposal to restructure….

We have all heard about the employee layoffs occurring across the world, starting in the tech sector. Some of these affect tens of thousands of people. On our smaller scale, New Zealand is not immune, and all the signs are there that companies have started, or will soon start, with restructuring, redundancies, layoffs, downsizing... whatever you wish to call it.

It can and does happen to anyone. Business will be business. I think it’s helpful to tell yourself that it could happen to you. So…are you ready?

Imagine it was you. How prepared are you financially? Do you have funds put aside that would tide you over while you looked for a new role? I remember some years ago reading an article that said that the vast majority of people were between two and four weeks away from, essentially, bankruptcy. If their income stream cut off tomorrow, within two weeks to a month they would have no funds left. Is that you? Or do you have a nest egg? Do you know whether your employment agreement provides for redundancy compensation? What is your notice period?

How about mentally/psychologically? How would you cope with the shock and uncertainty? So many of us have our self-worth, status and confidence tied up in our work. If that was taken away from you, what would be the impact?

Practically, would you know where to look elsewhere for work? Is your CV up to date? Have you ever thought about where else you might go?

I’m not trying to stress everyone out, or get you thinking about moving on, but the reality is that my clients over the years who were facing redundancy were invariably shocked, often angry, and usually stressed. Mostly, they were unprepared.

These are unusual and unpredictable times. If you would be in good shape if the call came, good for you. For everyone else, I would say that now is a good time to face the possibility, and get planning.