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8 warning signs you're up for redundancy

THERE aren't many who expect it. Redundancy usually comes as a shock and shatters confidence. But there are warning signs.

8 warning signs you?re up for redundancy
8 warning signs you?re up for redundancy

THERE aren't many people who expect to be made redundant. It usually comes as a shock and shatters a person's confidence.

But there are warning signs.

News.com.au asked career experts and people who have recently been made redundant how to tell if it's coming.

If your industry is struggling ...

A major warning sign is that your particular industry or area of expertise is facing economic hardship. Career management expert David Page says you should be watching the market closely.

"Check how the economy and your industry is paddling but in particular check the organisation and your department. See what the company is saying in the public domain," said Mr Page, a general manager at career management firm Audrey Page &Associates.

Outsourcing and offshoring are also important trends to watch.

"If that's a trend in your area that's something to monitor. That leads into what the competition is doing. If competitors are offshoring or outsourcing that indicates your company may start doing the same," said Mr Page.

If rumours are swirling ...

Mr Page says if redundancies are on the cards "typically it is in the wind".

But companies have to walk a fine line between being transparent and creating panic.

"If a restructure is imminent I think [employers] can certainly broadly communicate that change is around the corner and provide some sort of timeline but it is a balancing act between forecasting that and perhaps creating an unstable environment where people are looking over their shoulder," Mr Page said.

A long hiring freeze is also a sign of upcoming redundancies. Picture: Getty
A long hiring freeze is also a sign of upcoming redundancies. Picture: Getty

If a new senior person is appointed ...

Another warning sign is if a new CEO, executive team or senior manager is brought in to your company.

"It's not always a case of throwing out the old and bringing in the new but often a person is brought into an organisation to drive change. That can be somewhat of an indicator," Mr Page said.

If promises of more work don't eventuate ...

Mike Fleming, 32, was made redundant from a Melbourne-based project management consultancy firm in January.

It came as a shock and a "kick in the teeth", but in hindsight Mr Fleming says there were warning signs.

"I had a performance review prior to that and everything was fine. At the same time the waters had been muddied because the feedback I was getting was that we had a lot of big projects coming up. There was a lot of rhetoric around how busy you're going to be but [the company director] couldn't follow through on what he promised."

And that rhetoric had been going on for almost six months.

"Perhaps that was the warning sign. I suppose in any new role you put faith in the directors, especially in a consultancy, they're the ones who are meant to bring in the work and they were unable to do that," Mr Fleming said.

If vacant roles aren't filled ...

When marketing co-ordinator Alison Wood, 27, was made redundant two weeks ago it also came as a shock.

Looking back Ms Wood remembers that a senior marketing manager within her division announced she was leaving in January, and although they were told she would be replaced she never was.

"Apart from that it came out of left field. We got 5 to 10 minutes warning we were being pulled into a meeting," she said. "We knew we were a bit under resourced but we were all unaware it was going to happen."

If co-workers leave and their jobs are filled, it could be a sign of redundancies. Picture: Thinkstock
If co-workers leave and their jobs are filled, it could be a sign of redundancies. Picture: Thinkstock

If senior management is always around ...

Human resources expert Adrianna Loveday says if senior management has recently become more visible around the office, it could be a sign of redundancies. But she stresses people shouldn't necessarily panic.

"I think even though there could be an unstable environment or musings about redundancies it doesn't necessarily mean it's going to affect you," said Ms Loveday, a general manager at recruitment firm Randstad.

If a similar division is facing redundancies ...

"If the company is winding down operations in your particular division or a similar sort of division, that could signal that your area might be next," Ms Loveday said. "A smart person might read between the lines and mentally and practically prepare themselves."

If there's a hiring freeze in your department ...

"If there's been a hiring freeze in your department for a sustained amount of time, that tends to go hand in hand [with redundancies]," Ms Loveday said.

I sense that I'm up for redundancy. What can I do?

The bad news is that there's not a lot you can do to save your job once your position has been earmarked for redundancy.

"A lot of thought and planning and strategy goes in to a redundancy in an organisation and it might be something that is just naturally outside your control. It's an unfortunate but necessary evil," said Ms Loveday. "Most companies will encounter it at some point, many employees will too."

David Page says the only hope you have is if it has been made clear only part of your team will be made redundant.

"That will make it a competitive environment and you'll be looking to reinforce and illustrate your level of expertise and your abilities to your manager," he said.

If you do sense that redundancy is coming and it's out of your control, your best hope is to start looking for another job.

"If retrenchment is a real issue and a concern within their workplace they'd be smart to start thinking about their transferable skills, updating their resume, discussing opportunities with their network or recruitment consultants," Ms Loveday said.

"Acceptance as well is really important. So just to remember that when they hear the news it's the position being made redundant not them. Be careful about taking it personally, it happens to the most junior staff up to the CEOs of the most reputable companies. Understand it's natural to feel shocked and disheartened."

Have you been made redundant? Did it come as a shock or did you see the warning signs? Leave a comment below.

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Original URL: https://www.couriermail.com.au/business/small-business/warning-signs-you8217re-up-for-redundancy/news-story/9a1af1f9c3533a7ee37fc2af982a35db