How we work with our clients – implementing a redundancy programme
One of our clients, a successful tech business found the challenges of COVID finally starting to have an impact on their bottom line at the beginning of 2021. Despite very low churn from their existing client base throughout 2020, the pandemic caused many new projects to be put on hold. This significantly decreased the amount of new business being won and made sales predictions for 2021 more uncertain.
With other operational costs continuing to rise, our client soon realised that the decline in revenue growth would result in a cost base that would become difficult to sustain, especially given they didn’t know when this situation was likely to change for the better.
Our approach
We arranged a meeting with the senior leadership team to understand what the likely impact would be on the business, in terms of cost savings that would need to be made, how they were being proposed to be made, timescales and how this would potentially affect the current headcount. During this meeting, we discussed the various options with our input on the processes required and potential risks. We were focusing on the HR implications but also looking at the context of the wider business.
How did we help?
Once it was apparent that redundancies would have to be considered, we worked with our client to scope out the process. This included attending several meetings to discuss the financial implications for the business of taking such action and agreeing on how we would engage with the managers to get involved in the process.
It is fair to say that no one relishes having to undertake a redundancy programme. However, it is occasionally part of running a business. The key to success, is to ensure that those involved, are able to engage, with the right skills, knowledge and confidence, without putting themselves or the business at risk of litigation.
What did we do?
We were mindful that many managers had not yet experienced this in their careers. We arranged meetings with the managers to ensure that they understood their responsibilities and accountabilities in the process. Enabling them to ask questions in a safe environment and to provide one to one coaching on the “how to” aspects, including providing scripts and dealing with objections/emotions etc.
We also attended the consultation meetings as additional support for all concerned and advising with any queries to allay concerns and fears.
We worked with the client over a three-month period in total, to fully scope out the project. Ensuring that everyone was prepared, all queries were dealt with, and the financial implications were known and understood.
What did we achieve?
The outcome was an effectively and sensitively handled redundancy process that was delivered with compassion, humility and in a supportive manner, by an employer who always put their employees at the forefront of what they do. Despite being necessary, it was a pleasure to work with our client, as they were keen to ‘do the right thing’.
What did the client think?
This was the first time that redundancies had happened in their business. Yet when faced with such a daunting business challenge, they ensured that it was done with integrity. They listened to our advice and took on board our support in guiding them through it safely. We partnered with them to ensure that the situation was undertaken with the minimal amount of disruption and maximum amount of sensitivity taking as much time as was needed.
