Redundancy is never an easy situation to deal with, and it can take its toll on your mental health, relationships and other aspects of your life. But there are steps you can take to look after your finances, support your wellbeing and bounce back.
Make sure you are treated fairly
The Money Advice Service states that if you’re faced with redundancy, your employer must treat you fairly and act in accordance with your contract and legal redundancy rights. This includes making sure you are consulted and given a proper notice period. According to redundancy law, you’re entitled to a minimum notice period of 12 weeks if you are employed for 12 years or more, at least one week’s notice if you have been employed between one month and two years, and one week’s notice for each year if employed between two and 12 years.
If your employer doesn’t want you to work your notice period they can offer you a lump sum instead, which is called pay in lieu of notice. Evelyn Cotter, founder of SEVEN Career Coaching, points out that it is worth making sure you negotiate your package.
“If you don't ask you don't get,” she says. “We see lots of clients who have a great opportunity to start a fresh in the best possible way, because they ensured they had a coaching programme funded by the company as part of their package and many can use their paid gardening leave to get the very most from the programme, without having to juggle work around it.”
“If you know of others in the organisation, who have accepted packages, reach out to them to fact-find what they received before you agree on anything,” Cotter adds. “It can vary significantly in some organisations, all dependent on the person.”