Dealing with redundancy

Work and employment patterns have changed enormously in recent decades. Few people now expect to stay in the same job for life, and most people will experience a number of job and career changes. Usually this is the result of their own choice, but many people will also experience job redundancy.

Redundancy may be voluntary or involuntary. In the long term, some people are lucky enough to find redundancy to be a positive experience. It may lead to a better job, new skills, and greater career choice in the future.

In the short term, redundancy will lead to some level of financial and emotional stress. Unfortunately, it is during this most stressful time that many important decisions need to be made, and it may be necessary to obtain advice from a number of different professionals. Some of the issues that may need to be dealt with include:

Termination payments. Termination payments received as a result of redundancy receive special tax treatment. The best use for a redundancy payment will depend on personal circumstances. For many, a termination payment may be the main means of meeting living expenses for a period of time. For others, it may be an unexpected bonus.
Budgeting. Read more
A new job or a new career? Looking for work will be a priority for many people. Others will consider early retirement, or starting up a business. These are major and potentially stressful decisions, and should only be made after careful consideration. Career counselling may prove invaluable in helping you make the right decision. Many employers or industrial agreements provide outplacement or job transition support as part of the termination package. If this is available, make full use of the assistance provided. Australian Government career and job search tips
Centrelink benefits. You may be eligible for Centrelink benefits whilst looking for work or undergoing re-training. Eligibility for government payments is affected by a number of things, including termination payments, spouse or partner income and your level of financial assets.
Superannuation and insurance. Read more