The announcement goes out on a Monday morning. The company needs to reduce its costs, and before anything else it is inviting people to apply for voluntary redundancy. There is a document explaining the terms, a deadline three weeks away, and a calculator on the intranet. You put your details in out of curiosity, and the number that comes back is larger than you expected.
For a moment it looks like a gift. Paid to leave a job you have been lukewarm about for a year. Before you apply, it is worth slowing down, because this decision is easier to make than it is to undo.
Read the terms properly. Find out how the payment is calculated, whether it includes notice pay, holiday you have not taken, and any bonus, and when it would be paid. Check what happens to your pension, your shares or options if you have any, and any health cover. Ask whether accepting means signing an agreement that limits what you can do later. How redundancy payments are taxed, and whether they affect any benefits you might claim, depends heavily on where you live, so get proper advice before you rely on a figure.
Then work out how long the money really lasts. Take the amount after tax and divide it by what you actually spend in a month. Now think honestly about how long it might take to find your next role. Hiring in tech goes up and down, and searches often take longer than people expect, especially when many people from the same company are looking at once.
Ask yourself what you are leaving towards, not just what you are leaving. If you have a clear plan, a course you want to do, a career change, a period of caring for someone, a business you have wanted to try, the package may give you exactly the runway you need. If the main feeling is relief at getting out, it is worth asking whether a normal resignation, with a new job lined up, would serve you better.
Think about what happens if you stay. Voluntary schemes are often followed by compulsory ones if not enough people apply, and the terms then are sometimes less generous. On the other hand, the people who remain may end up with more scope and less competition for the interesting work. Talk to your manager if you trust them. They cannot promise anything, but they may be able to tell you how your role is seen.
Check whether your application can be refused. Many employers keep the right to say no if too many people from one team apply, or if your skills are hard to replace.
If you decide to go, leave well. Finish what you can, hand over the rest, and say goodbye properly. The people you worked with will be your network for the next job.
Whichever you choose, choose it on paper, with numbers, rather than on the morning the email arrived.
– Asael Shinder
