Navigating Redundancy - Tips for Beginners.

Recently I’ve spoken to some ex-colleagues going through redundancy for the first time. It’s no secret SAP is restructuring 8000 roles globally which means many people will likely go. It’s not the first time and SAP are not alone. These days it seems like a perennial thing even with growth in the industry. A “new normal” you might say.

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It’s prompted me to share some personal first-hand experience. Please indulge me for a moment.

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One day a bright-eyed, enthusiastic and very naive young graduate engineer heard from his employer that there was going to be a round of staff retrenchments. As he pondered what this might mean he reflected on what he had heard in his graduate program training: He and his cohort were to bring new energy, new ideas and leadership to underpin the future of the business. Retrenchments would happen to the “dead wood” he thought, “I guess that’s how business works”.

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I was that graduate engineer. What unfolded was brutal and taught me a lot.

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The company was Ford Australia. Back then Australia built cars, but the days were already numbered. It was a tough business to be in. In the first retrenchment round staff were told to be at their desks at midday. They would receive a call from their manager who would inform them of their future (or not) within the organisation. As midday approached about fifty people sat exchanging nervous glances in our departments open plan office. You could hear a pin drop. A phone rang shattering the silence. A colleague stood up and went to the corner office. He emerged five minutes later and slumped back down on his desk crying. He’d worked at Ford for twenty-five years. Then it happened to another colleague. Then my phone rang.

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I was numb as I walked into my GM’s office. He closed the door and said: “Relax Paul. As part of your leadership development we are transferring you from Production Engineering to a Production Supervisor role”. The next day I took responsibility for over thirty vehicle assembly workers. I met Kosta, Con, Lam, Faik, Huynh, Ahmet, Maria, Fatima and many more. I took the job of an older Italian gentleman who had worked at Ford all his life and was now retrenched. He was loved and respected by his people. I soon learned that the title “Graduate” was generally used with derision by the battle-hardened factory employees. This naive young graduate quickly had a valuable lesson in real hard work, humility, resilience, multi-culturalism and life outside a privileged bubble. Overall, more than forty percent of the salaried workforce were retrenched at that time. I was one of the lucky ones.

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A few years later I left the production office in the middle of the noisy, smelly, car assembly plant to join a fast-growing IT company called SAP. SAP’s office had majestic views over Albert Park lake and the bay. Beers were bountiful in the corner fridge. It felt like a good career choice. I soon travelled to Boston, Philadelphia, Chicago and San Francisco. Then Singapore, Glasgow, Shanghai, Taipei and many more cities including of course SAP’s home of Walldorf. I was in another realm entirely.

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Fast forward many years and many roles at SAP. One day I was summoned to meet my line manager- the COO. An HR rep was also there. My ashen faced manager read the standard redundancy blurb. I tried not to smile but I knew the gig. I had sensed it was coming. Teams like mine had come and gone over the years at SAP with countless restructures. After a fantastic career at SAP, I was ready to move on and the round of redundancies gave me the nudge. I genuinely felt free but there were some nagging thoughts. What's next? Will “redundancy” spoil my resume and prospects? I quickly learned that it didn't as I took on new roles.

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Last year redundancy happened to me again. This time I was a little more perturbed. It had been over two years in this role and even though I wanted a change, not being in full control of it was unsettling. Nevertheless, the timing worked. I seized the opportunity and invested time in a family tree change and renovation of a new home. It has paid dividends when I see how happy my wife, son and daughter now are (along with the dog, cats and chickens).

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So that’s two redundancies for me in my career to date. I don't mind not having a flawless resume anymore as each bump in the road has been a vital opportunity for growth. My experience doesn't make me an expert. Far from it. So, with that qualifier here’s some thoughts I’ve recently shared with those going through redundancy:

1. It can happen to anyone including high performers. It doesn’t have to be fair or make sense. It’s business. Don’t take it personally or feel de-valued. Your position is redundant not you. You’ll be surprised how many people have also been through it. Recruiters and future employers won’t (or shouldn’t) hold it against you.
2. It’s not a nice feeling when you are made redundant and control over your career and income is suddenly, momentarily not what your thought it was (especially if you've had years of predictability). That’s normal and that feeling will pass when you move on.
3. I won’t lie - redundancy is much more uncomfortable when you’re over fifty. I have time and the energy to create some more exciting chapters in my career. That however may not be obvious to potential recruiters who only see my greying beard or the 'bots' that filter resumes. I am a realist and I know ageism exists, but I don't dwell on it. It's a challenge for employers to overcome!
4. If you see friends, colleagues other connections going through job loss give them support. If you’re young you’re not immune...and certainly not forever. As young Graduate Engineer Paul found out your turn might come one day.
5. Finally: If redundancy is thrust upon you seize the opportunity to open a new chapter. Take advantage of any outplacement services provided. They are the experts. It will help channel and challenge your thinking. Back yourself and your network. You will grow and surprise yourself!