Navigating the storm: How to manage and move on after retrenchment

Dr Linda Meyer

“The sudden loss of a job is more than just an economic hardship. A drastic life change often ushers in intense emotional responses, such as stress, anxiety, depression, and a blow to one's self-esteem. In these trying times, understanding the psychological impact of unemployment, and knowing where to seek help is paramount, in addition to understanding the logistics of how to proceed,” says Dr Linda Meyer, MD at The IIE’s Rosebank College and Waterfall School of Business (WSB), and president at Rosebank International University College Ghana.

Dr Meyer, a former commissioner at the Commission for Conciliation, Mediation and Arbitration (CCMA), says it is essential that those facing retrenchment understand their legal rights as a first point of departure.

“In the face of retrenchment, knowing your legal rights as an employee is critical. Understanding these rights can help protect you against unlawful dismissal and ensure that you receive the full benefits and compensation to which you're entitled under the Labour Relations Act,” she says.

Understand your rights

Right to fair procedure

Before retrenchment can occur, your employer is legally obligated to engage in a consultation process. The employer should discuss the reasons for the proposed retrenchments, possible alternatives to retrenchment, the number of employees likely to be affected, and the proposed method for selecting which employees to retrench. Your employer must allow you to voice your opinions, suggest alternatives, and challenge the proposed retrenchment process.

Right to severance pay

If you're retrenched, you are entitled to at least one week's wages for each completed year of continuous service as severance pay in addition to your normal salary and benefits. These benefits are stated in the Basic Conditions of Employment Act.

Right to notice or payment in lieu

According to the Basic Conditions of Employment Act, your employer should give you written notice of termination or retrenchment. The notice period varies depending on your length of service. For employment duration of one year or more, the notice period is four weeks. If the employer chooses not to give notice, they must pay you in lieu - referred to as 'pay instead of notice'. This means you will be compensated for the notice period, whether you work during this period or not.

Right to a certificate of service

Upon retrenchment, you will receive a Certificate of Service from your employer. This certificate should indicate the duration of your employment, your position, and your remuneration at the time of departure.

Right to unfair dismissal protection

Should you believe your retrenchment was unfair, you have the right to challenge it. Unfair retrenchment could be due to the employer failing to follow correct procedures or discriminating in choosing whom to retrench. The CCMA provides a platform to hear and address such grievances.

Right to assistance

Lastly, you have the right to ask for assistance from a trade union representative or a fellow employee during the consultation process.

Understanding these rights is the first step in safeguarding your interests during retrenchment. If you are uncertain about any aspect of the process, you should seek legal counsel, consult a trade union or seek advice from the CCMA. Remember, you do not have to navigate these challenging times alone.

Moving on

“Retrenchment can trigger a tumultuous wave of emotions,” Dr Meyer says. “As you grapple with the shock of sudden job loss, you might experience feelings of anger, fear, anxiety, sadness, and possibly relief. These reactions are entirely normal, and managing these emotions healthily is essential to navigating this challenging time.”

Acceptance and acknowledgement

The first step is to allow yourself to feel these emotions without judgement. You've suffered a significant loss, and it's normal to grieve. By acknowledging your feelings, you're permitting yourself to begin healing.

Talk about your feelings

Keeping your emotions bottled up can increase stress and lead to feelings of isolation. Reach out to trusted family members, friends, or mental health professionals. Speaking about your feelings can help you gain perspective, reassurance, and even practical advice.

Stay active and stay healthy

Regular physical activity releases endorphins, the body's natural mood lifters, and can help you maintain a positive mindset. Find an exercise you enjoy, walking, jogging, yoga, or cycling, and incorporate it into your daily routine. When dealing with emotional distress, it's easy to neglect essential self-care. However, maintaining a balanced diet, ensuring sufficient sleep, and avoiding excessive alcohol and caffeine can significantly impact your emotional well-being.

Set realistic goals for the future

Setting achievable goals, whether related to job-hunting, learning a new skill, or even daily self-care tasks, can give you a sense of purpose and control. Remember to be gentle with yourself and celebrate small victories along the way.

Seek professional help

If feelings of anxiety, depression, or hopelessness persist, it might be beneficial to seek professional help. Mental health professionals can provide the necessary support and tools to help you navigate this difficult time. Dealing with retrenchment is challenging, but with patience, resilience, and the proper support, you can weather this storm and come out stronger on the other side.

“Navigating the stormy waters of economic distress can be challenging, but with the proper psychological support and a compassionate community, it's a battle that can be fought and won.”