Tackling Redundancy and Workforce Re-entry in a Competitive Job Market

Written by Charles Handley, Director at Dalton Handley and Partner at Bridgewater Partners AI Talent: A career recruiter specialising in helping marketing, business development, communications and AI talent achieve their full potential.

Redundancy can strike as a harsh blow, especially in a competitive market - yes, there are roles out there and I am working on them, but there are dozens of candidates competing for some spots. Having worked as a specialist recruiter for 17 years, I've seen the challenges and uncertainties that candidates face when they unexpectedly find themselves out of work and have taken many tearful phone calls recently.

Maintaining your confidence and looking after your mental health are as important as the activities you should involve yourself in to ensure you take the next step in your career journey. The market is tough for candidates at present and it may feel like your career is over! It’s not. The market will turn, for the better, albeit gradually – the conversations I’m having over coffee cups give me a cause for optimism leading into the new Financial Year.

On a personal level, I had to take lengthy extended leave last year after a serious accident left me with debilitating injuries, significantly impacting my health of course, but also my overall confidence. After realising I needed to down the work tools and work on myself, I focused on not panicking and looked for the positives in the situation, so set to work on rebuilding myself to be better than ever in 2024 - it worked.

My biggest learning, as I recovered in hospital and at home, was that going back to basics, self evaluating and being methodical in my approach to re-entering the work sphere is that unforeseen time out can be an absolute blessing. I was forced to discover what I wasn't good at and worked on it. I recognised what I am good at and built on it. I'm also reenergised, refocused and more committed to doing great recruitment and advisory work for my clients than ever before. I'm more focused, more nimble and committed than ever before, placing almost everything I work on and enjoying working at the top of my game for my clients. Although I didn’t face redundancy running my own business, I rely on my valued candidate-clients and firm-clients for work; my market was dead.

This approach and embracing your time off to use for the better can be applied if you suddenly feel that your career has come to a halt with no obvious opportunities to gun for, but you'll need to use some systematic thinking, which I'll touch on below. Remember, you may have lost your job, but you haven't lost your skills, so don't lose faith!

Understanding the Market's Dynamics

Firstly, it's crucial to grasp what's happening in the broader economy. Inflation is back under control, however monetary policy easing hasn’t yet started – the first interest rate reduction will be a significant step forwards, when it finally happens. We also face problem of geopolitical tensions in the Middle East and Europe, so firms are being conservative and cautious – would we expect anything less?

The past couple of financial years saw substantial revenue growth for firms, leading to inflated salaries as firms rushed to hire and bid for talent from an almost dry pool. Salaries were driven higher further as existing employees were offered retention inspired pay rises and bonus payments to prevent the great resignation that never happened. After FY 2024’s bumpy ride and a swelling of the talent pool due to redundancies and a tidal wave of people approaching me simply looking for a change at this point in the cycle, the tables have turned and in my opinion, we may witness a period of correction imminently.

The main message here is to be mindful that the market has shifted considerably and your expectations on salary compared with a couple of years ago (and how picky you can be in general with your job wish list) may need to soften somewhat.

On a positive note, law firms, which are the engine room of professional services MBDC recruitment and normally the catalyst for recruitment turnover across the industry once they get going, have started to perform well again during the second half of the Financial Year and caution is easing; it’s a blessing that firms aren’t really hiring that much because they can’t afford to, because history tells us they will and with force at some point in the fairly near future given that they are generally performing well. With demand for change running high amongst candidates in BD and marketing teams, we should cue the music for the game of musical chairs to start. All it takes is for a couple of firms to hire aggressively as part of their restructuring efforts and the cycle of movement will begin.

Practical Steps to Take

Keep Calm and Carry On: This includes cultivating a systematic approach to analysing and responding to challenges logically, accepting the things you can’t change and proactively addressing the controllable. In turn, you will apply yourself and use your time and effort to much greater effect to become the best version of yourself for potential employers to consider. Worrying about things you can't change, like your mortgage payments, what people think about you being out of work or spending time cursing your former employer will get you nowhere - fear, anxiety, worry, anger and being driven by ego all cloud your clarity of thought and will impede your progress far beyond what you might expect. That's just scientific fact and is down to the suppression of your Amygdala (survival instincts) and making greater use of your Prefrontal Cortex for executive decision making.

Embrace Constructive Self Criticism: Some redundancies happen in firms where you are seen as a number - great people are let go; some redundancies are just unfortunate. Quite often however, people who have been made redundant might not realise that they have become a little stale. It's important to consider what you have done well and can take to prospective employers, but also reflect and contemplate what you could tweak and refine in order to grow.

I spent time considering the above and after letting go of my all consuming worry and fear, I realised what I really needed to work on and what the 27 year old me (when I started Dalton Handley) had that the 37 year old me in 2023 had let slide. I worked out what I wasn't good at and worked hard on it. I also worked out what I am good at and built on it. As a result, I feel as focused, driven, energised and genuinely confident in what I can now offer the market and my clients, and that grows day by day. I almost feel 27 again, however now I have the benefit of commercial maturity and hindsight on my side.

Reconsider Your Roadmap: Rather than looking to climb up the pyramid of seniority, why not consider a role at the same level or slightly lower level if the firm you'd be joining offers you the opportunity to learn e.g. moving into a firm with a more sophisticated marketing function. For more senior candidates, dropping the team management aspect of your role (along with a nice title for your ego) could mean that you secure a senior specialist role that will still challenge you and offer fulfilment. I know a few former Heads-Of and Directors who are now Senior Managers and very happy ones at that.

Revamp Your CV: Use this comprehensive CV writing guide to update your resume. A standout CV can make a significant difference. Make sure it reflects your achievements and skills succinctly and compellingly. Don't be afraid to ask recruiters like me to spend time reviewing the document for you.

Consider Contract Roles: Don't overlook fixed-term contracts. In professional services, about 80% of contract roles transition to permanent positions. These opportunities can be an excellent way to get your foot in the door and are often passed over by a lot of candidates I work with who are looking for the 'security' of a permanent role.

Stay Informed and Network: Keep up with industry news and maintain your professional network, but please, avoid the gossip, because it's just that. Proper networking with people you don't know that well or have been introduced to will keep you informed about potential job openings and ensure you remain sharp in business dialogues. After a period away from work, it's easy to feel out of touch. Regular interactions can help mitigate this. Also, you'll be amazed at how much time and guidance people will give you if you reach out and open yourself up to receiving constructive advice if you seek their wisdom to help you grow, too.

To build network connections, LinkedIn should be your workbook and contact list. Try to offer people you approach something if you can, even if it's showing an interest in something on their profile that serves as a discussion point over a call or ideally a coffee.

Patience is Key: The current market requires patience. Wait it out until the new financial year if possible as there will be more opportunities to position for. In the meantime, engage with your recruiter regularly (I always ask people I work with to keep the line of communication open and I will too) to stay on top of any developments. Don’t flick out your CV for every role you see, such as a job many pay grades below yours because you will look desperate, you won’t get called for interview (you'll be seen as a flight risk) and when a suitable role comes up with the same firm, it will be obvious that you’ve been on the market for a while and you may well be on the market for a few months (the more senior you are, the longer you’ll probably need to wait).

Be prepared psychologically, emotionally and financially for six months out of work. This might seem daunting, however it’s a potential reality and we can’t change the landscape, but we can prepare ourselves to navigate difficult times sensibly and use them to our benefit. If you find something before six months, fantastic, however it may well take six months if you’re mid to senior level. On the plus side, with firms starting to talk about their hiring intentions, it’s a good time to engage with me as I often work proactively with candidates to secure them an opportunity where I can see a fit, both skills and cultural alignment.

Self-Improvement: Use this time to enhance your skills. Online courses, certifications or workshops relevant to your field can improve your employability. Interview technique practice sessions are hugely undervalued - I have been running them for over a decade to help candidates do themselves justice and achieve exceptional results during the interview process.

The Emotional Aspect: It's natural to feel unsettled or anxious after a redundancy. However, try to view this time as an opportunity for growth and reassessment. It’s a chance to realign your career path with your personal goals and aspirations. Take this time to open your mind to alternative career avenues as well.

In summary, while redundancy in a tepid market is challenging, it’s not insurmountable. I fell down a ditch and climbed a mountain to get back up, but I'm far stronger for it and excited about the Financial Year ahead.

With strategic actions and a clear understanding of the market, you can turn this into a period of valuable professional development. Stay proactive, maintain a positive outlook and use this time to prepare yourself for the next opportunity that comes your way.

Talk to me on +61 499 956 666 or email [email protected]

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