Dealing with redundancy: advice for employers and employees

Being made redundant is one of the most unpleasant things you can experience at work. I should know – it’s happened to me four times.

When you’ve worked hard, enjoy your job and like working with your colleagues, redundancy is a bitter pill to swallow. And being told it’s not your fault, that you’re simply a victim of economic circumstances, offers no comfort.

You may be lucky enough to get redundancy pay, so you can cover your bills until you find a new job. But if not, things can get very stressful, especially if you have a mortgage/rent to pay and other mouths to feed.

Without wishing to sound blasé or insensitive, even though I received no redundancy pay, on two occasions I didn’t feel remotely unhappy about being made redundant. I was able to escape jobs I hated; working for people I disliked who couldn’t care less about me. I was underpaid, under appreciated and overworked.

In reality, every time I’ve been made redundant, I’ve gone on to better things, including starting my own business. It can be hard, but redundancy can lead to something better. So, whether you’re an employer or employee, what else do you need to know about redundancy?

“The process can be stressful and time-consuming, when you could also be faced with serious cash-flow issues”

Redundancy advice for employers

Making redundancies can also be one of the worst things employers have to go through. Seeing good people lose their jobs through no fault of their own isn’t nice. The process can be very stressful and time-consuming, too, when you could also be faced with serious cash-flow issues.

Independent workplace experts Acas has produced guidance for employers on how to manage staff redundancies. It advises creating a redundancy plan, so you can better manage each stage of the process, as well as exploring all options so you can avoid compulsory redundancies.

Communication, consultation and support

Involving staff and their representatives in consultations is essential and you should fully support your employees throughout. Do what you can to help them find other jobs if they’re made redundant. You must also consider employees who remain, because they can be unsettled.

Although you may need support from your accountant, government website Gov.uk enables you to calculate your employee’s statutory redundancy pay. Employees must not be selected unfairly and you must give them “reasonable” time off to look for a new job. If necessary, seek tailored advice from a legal or HR consultant. Jobcentre Plus can give you and your employees free support and advice.

Poor communication, lack of empathy and unfair treatment can lead to resentment. Employees should feel free to come to speak to you about their concerns. Those with more than two years’ service qualify for statutory redundancy pay. If your business would become insolvent by making statutory redundancy payments, the Insolvency Service’s Redundancy Payments Service may help.

“You must be selected for redundancy in a fair way. You cannot be selected because of age, gender or if you’re disabled or pregnant ”

Redundancy advice for employees

Gov.uk also offers advice for employees on redundancy. Acas operates a redundancy payments helpline (0300 123 1100), while its website details employee redundancy rights. The Citizens Advice website allows you to check that your redundancy is fair and enables you to find out about your redundancy pay rights. Find out about those as soon as you’re told you’re being made redundant. 

According to Gov.uk: “You must be selected for redundancy in a fair way, for example, because of your level of experience or capability. You cannot be selected because of age, gender or if you’re disabled or pregnant [otherwise it] could be classed as an unfair dismissal.” Often last in are first out. You can write to your employer to appeal if you believe you’ve been unfairly selected. If so, you may be able to make a claim to an employment tribunal.

You’re entitled to notice or payment in lieu of notice if included in your employment contract. You have consultation rights, too. If, during consultation, you are told you may be made redundant, act straight away – don’t waste any time. Update your CV and LinkedIn page immediately.   

“You can get time off for job interviews. Also let it be known through your networks that you’re looking for a new job”

Redundancy – what next?

If you plan to find another job, begin your search while serving your notice period. You can get time off for job interviews. Also let it be known through your networks that you’re looking for a new job.

You may be able to find one by searching on Gov.uk. Jobcentre Plus offers advice on how to look for a job online (with a handy list of recruitment websites you can add to your favourites). The Jobcentre Plus Rapid Response Service may be able to help you to write a new CV and find a job, while also providing advice on benefits and training.

Contacting recruitment consultants could pay off, as could searching on trade, local and national press websites for situations vacant. You could also email speculative applications to potential employers in your field or area. Don’t discount anything.

With huge number of redundancies having been made in recent months (695,000 people have reportedly left company payrolls since March), competition for vacancies will be fierce. You could choose to enhance your skills or qualifications to stand a better chance. You may be eligible to claim benefits while looking for your next job. Those losing their jobs in certain areas or sectors may decide to retrain (visit the National Careers Service pages of Gov.uk for information if you’re in England – there are similar services in Scotland, Wales and Northern Ireland).

“Whatever you do, don’t allow your confidence to be damaged by redundancy. Your role has been made redundant – you haven’t”

Start your own business?

Another option could be to start your own business, whether full time or as a “side hustle” (maybe to earn a few quid until you find a job). Reportedly, more than 680,000 new businesses were registered in 2019, yet with many redundancies expected and competition for jobs intense, previous UK business start-up records could be broken.

Whatever you decide to do, don’t allow your confidence to be damaged by redundancy. Your role has been made redundant – you haven’t. And if you’re angry – let it go. Stay positive. Use your time wisely. Focus on your strengths, experience and achievements. Network like crazy. Explore all of your available options. Have faith – and most of all – believe in yourself. You too can move on to bigger and better things.

• Written by Mark Williams, founder and content director of Dead Good Content, for Squarespace web design, coding and training specialists Manage My Website.

Why your accountancy firm needs its own client enewsletter

Most of us have signed up to receive email newsletters – the good, the bad and the ugly. We look forward to receiving the ones we like and value, but soon unsubscribe from those crammed with irrelevant content or a blatant barrage of sales messages.

Just when they looked to be all but dying out, about three years ago enewsletters underwent a renaissance. Everyone was doing them again; some were superb and they helped brands to build better customer relationships. Enewsletters can be a particularly effective marketing tool for accountants and other service-based businesses.

“Enewsletters can be a particularly effective marketing tool for accountants and other service-based businesses”

Why are email newsletters popular?

Email marketing is where you send out pure sales-related content, for example, information about your latest offers. But enewsletters contain news, features and other content designed to inform recipients – to increase their knowledge.

The key reason why people sign up to enewsletters is they want to learn more about things they’re interested in. Many of us love enewsletters and those that national newspapers send out every day are now among the most popular. Your average enewsletter design is now far better and enewsletters are much easier to read on smartphone, which has also helped to boost their popularity, because you can read them wherever you are (almost).

If someone has signed up to receive your enewsletter, it’s less likely to be spam-filtered. And research suggests that the average enewsletter open rate is high, providing you have a good subject line and the recipient recognises the sender. Pick a good mix of high-quality, relevant, timely content and your click-through rates can also be high.

“If you provide valuable information that benefits subscribers, they’re more likely to know, like and trust you – and buy what you’re selling”

Highly effective

When well written, produced and distributed, email newsletters are a highly effective way to reach prospects and existing customers, ensuring that you remain in their thoughts (or occasionally pop into their heads, at least).

If you provide valuable information that benefits subscribers, they’re more likely to know, like and trust you – and buy what you’re selling – the ultimate aim, of course. In a business context, your enewsletter information should enable recipients to increase their knowledge, solve their problems, save time, money or otherwise become more profitable and successful.

Having your own enewsletter can make your small accountancy firm appear bigger and more professional – and more interested in its clients – which can really set you apart from your competitors. Adding value to your customer relationships in this way can ensure that your customers remain loyal.

“Latest news, tips, updates and key-date reminders are all common enewsletter content, but longer-from content can also prove popular ”

Question of balance

Latest news, tips, updates and key-date reminders are all common enewsletter ingredients, but longer-from content can also prove popular. You can tell recipients about latest developments, whether in their sector, the small-business world or at your business (don’t overdo this). Sharing your insight via enewsletter is a good way to underline your credibility as an expert, while competitions and giveaways are also popular. Research suggests that subscribers are happy to hear about new offers or latest deals via enewsletters (but limit this also). Think “tell, tell”, rather than “sell, sell”.

Some businesses send out weekly enewsletters, while others send them out every two weeks, each month or quarter. Many accountants send out Budget specials, of course, while many have sent out special enewsletter to explain the latest Covid-19-related changes. Frequency is key, because you mustn’t bombard recipients, you simply want to keep them connected, engaged and informed.

“Part of email marketing’s attraction is it offers a great return on investment – some believe a £42 ROI for every £1 you spend”

Return on investment

Enewsletters can be created for very little cost, even if you buy content. Part of email marketing’s attraction is it offers a great return on investment (ROI) – some believe a £42 ROI for every £1 you spend (source: Direct Marketing Association). That’s a pretty compelling claim.

Testing and analytics enable you to quickly find out what works best, whether that’s your subject lines, content type or when to send your enewsletter. Setting up and managing a customer enewsletter is relatively straightforward, but if you just don’t have the time, knowledge or inclination, paying someone else to do it for you could prove a wise investment.

In my next post, I’ll provide a step-by-step guide to setting up an enewsletter for your accountancy firm, together with some important legal considerations.

• With 15 years’ experience as a leading writer of small-business content, Mark Williams is the founder of Dead Good Content, which specialises in writing readymade and bespoke content for accountancy firms and others that want to market their services to small businesses.

How to create a new marketing plan for your accountancy firm

The lockdown may have smashed a gaping hole right through your marketing plan for 2020. You may serve sectors that have been particularly hard hit. Some of your prospects or existing clients may have already gone to the wall.

Many of the assumptions, aims and actions set out in your previous marketing plan may no longer hold water. Your marketing plan may not have been working anyway. And, whether through lack of time or knowledge, some smaller accountants don’t have a marketing plan, which may be limiting their growth.

Although many are understandably feeling slightly dazed and confused at the moment, doing nothing isn’t an option. All businesses must act if they are to get back on track, and creating a new marketing plan could really help your recovery.

“Planning is bringing the future into the present, so we can do something about it now”

Why create a marketing plan?

As once explained by celebrated American time-management author, Alan Lakein: “Planning is bringing the future into the present, so we can do something about it now”. Lakein is also credited with the often-quoted adage:  “Failing to plan is planning to fail”.

This is a slight over-simplification, because businesses without marketing plans aren’t necessarily doomed to failure. Moreover, marketing plans don’t guarantee success, because things don’t always pan out as expected. But planning can increase your chances of success, while enabling you to make the most out of available opportunities.

You can develop a marketing plan for your entire business or just a specific product, service, market or customer type. Your marketing plan need not be long or intricate, in fact, the shorter and simpler the better (the KISS principle certainly applies). Most marketing plans are for periods of one to three years.

Marketing plan basics

In essence, marketing is how you get prospects and customers interested in buying your products or services (after that, you’re into selling). The marketing process involves research, creating a service or product (sometimes), promoting, selling and distributing your wares.

According to Susan Ward: “When you’re putting together a marketing plan, concentrate on four key components – products/services, promotion, distribution and pricing.” Success rests on offering the right things for the right price in the right way, while ensuring that enough people know who you are and what you sell. Ward says creating and implementing a marketing plan can help you to keep your marketing efforts better focused, so that you ultimately make more sales.

If your market knowledge is out of date or lacking, your marketing plan will be flawed. If necessary, undertake up-to-date market research. Your plan must also summarise your offer (including your USP) and your market (ie its size, value, trends, etc), your target customers, your competitors and your market position. All of the above should also be up to date.

“The most crucial marketing plan aims are linked to sales, expressed in numbers or percentages, linked to those detailed in your business plan ”

Setting marketing plan aims

Take enough time to consider your marketing plan aims, which should be SMART (ie specific, measurable, achievable, realistic and time-bound). If they’re specific, you know exactly what you’re trying to achieve. If they’re measurable, you can assess your performance.

Ambition is a great thing, but there’s no point in setting unrealistic marketing plan aims, because you’ll only fail. You should set milestones and a deadline for your marketing plan, because then you’ll be able to assess your progress.  

Your marketing plan goals could include increasing awareness of your brand, launching new services and targeting new customers and entering new markets. However, the most crucial marketing plan aims are linked to sales, expressed in numbers or percentages, linked to those detailed in your business plan.

“If you spend time creating a sound marketing plan, it could make a big difference to your ability to survive and thrive in these challenging times”

Marketing plan strategy

Now you must decide your marketing tactics or marketing strategy, in other words – how you’ll achieve your marketing plan goals. Key options include search engine, email and content marketing, PR, social media and advertising, while word-of-mouth recommendations remain important to many small accountancy firms. Most businesses use a mix of tactics, and if don’t know which ones work best – test, measure and learn.

Once you’ve decided your marketing tactics, calculating their cost allows you to set and allocate your marketing budget. Closely monitoring which marketing tactics are delivering the required results will enable you to assess your return on investment. Over time, you’ll be able to allocate your marketing spend where it’s most likely to deliver your marketing and business plan objectives.

Finally, creating a marketing plan that you never use is pointless. If you spend time creating a sound marketing plan, it could make a big difference to your ability to survive and thrive in these challenging times. To quote another popular business adage, action without planning can prove fatal, but planning without action is futile.

• With 15 years’ experience as a leading writer of small-business content, Mark Williams is the founder of Dead Good Content, which specialises in writing bespoke and ready made SME blog and news content for accountancy firms and others that want to market their services to small businesses.