Redundancy through company downsizing or closure is a process which some Eden residents will be unfortunate enough to experience, and this will force you to look for a new job. You may have been working for your current company for a long time, or may never been in this position before, and not know what to do. The following should give you some starting points to get you back onto the road of employment.
What is redundancy?
An employee is redundant if the whole business they work for closes down, or if the business continues, but there is no longer a need at that particular place for workers of the employee's class or type of worker, (rather than the individual). Sometimes a site will be closed, and work transferred to another site, and employees may be offered work at another location, or the new location may then be at full capacity.
What is insolvency?
Insolvency is where an employer no longer has any money to pay the people it owes in full, and it has to make special arrangements to try to meet these debts. Usually an insolvency practitioner or official receiver is appointed to deal with the insolvency. They will look at the possibility of selling the company as a going concern to cover these debts. In many cases some or all of the employees can retain their job. If this is not possible, company assets such as the building and capital equipment will be sold off to pay the debts. There is usually a hierarchy of debtors, and 'preferential debt' must be paid before certain other debts.
It is important to remember, however, that despite the demoralising effect redundancy can have, you should still focus on your skills and experience, as you will still have plenty to offer other employers. The key is to keep motivated, and to speak to a professional person who can look at your skills to see what you can offer prospective employers.
You might wish to look for a job in the same industry. Alternatively, this might be the spur you need to enable you to change career. In this case, you will need to look at your transferable skills. Consider expanding your educational and training experience - this can be done with a training provider or on-line through distance learning courses such as Learndirect.
Getting back on track
If your job has been made redundant, there are steps you can take to get you back on the road to employment:
- Network - make the most of your contacts (friends, family, work colleagues, customers) and do your best to expand your network. By keeping informed about the job market, you are more likely to hear about any vacancies. Remember, not all vacancies are advertised in the press.
- Consider a career switch. If the industry you were working in is in decline, you should consider other sectors where your skills could be applied.
- Do your homework - find out about the companies you are applying to and the market sectors in which they operate. Look at websites, call for brochures, and if there is a named person in the advert speak directly to them or the HR department about the job and your suitability.
- Update your CV - make sure you include everything from your last position. Once you have a CV, it pays to register it with many agencies, to improve your chances of finding the best job for you. You may wish to have a selection of CVs highlighting different aspects of your career. Always tailor your application to the specifics of the advert - an off the shelf standard response will not set you apart from other applicants, and don't be put off if you do not match the criteria - these are based on the ideal candidate and employers will often look at the range of skills and experience people can offer.
- Age discrimination legislation came into force on 6th October 2006, so don't be put off applying just because you feel the employer is after a younger person. Experience matters and ultimately costs the employer less because there can be a reduced need to train experienced staff or find cover whilst they are away on training courses.
Where to get help
If the business you work for has closed, you will need to find out if your employer is insolvent or just in difficulty. You can do this by contacting Companies House, which holds trading details on its register of companies.
The Insolvency Service has useful information,and you can get information on people who are declared bankrupt.
Directgov is a UK Government website, and provides information on all sorts of public services.
The Advisory, Conciliation and Arbitration Service (Acas) offers free, confidential and impartial advice on all employment rights issues. You can call the Acas helpline on 08457 47 47 47 from 8.00 am to 6.00 pm Monday to Friday.
Your local Citizens Advice Bureau (CAB) can provide free and impartial advice. You can find your local CAB office in the phone book or online.
Jobcentre Plus provides assistance for people who want to find work, and gives people of working age the help and support to which they are entitled if they cannot work.
