CNA Explains: What to do if you’re retrenched

Can I get help finding a new job?

Retrenched employees may ask for outplacement support, which refers to assistance in finding a new job.

For example, you could ask: “Can you send me for training maybe to upskill myself, before I go?” said Mr Liew. 

In some cases, companies may engage vendors to conduct workshops to teach employees how to prepare their resumes, where to look for jobs and how to attend interviews.

This would be particularly useful for long-time employees of the company, who would not have interviewed for new jobs recently, experts said. 

Other companies may hire recruitment agencies to help their retrenched employees look for new roles. In this scenario, employees should check how long this agreement will last, said HR leader Ms Agarwal.

They can also try to negotiate to keep this benefit until they find their next role. 

Employees may even find it useful to ask if they can retain their laptops to update their resumes, apply for jobs and take online interviews, she added. 

“Just check with the organisation if they’re okay with you to have the laptop … until the end of the year or financial year,” she said, adding that the company can always revoke access to proprietary information and networks, turning the device into a regular laptop. 

What happens to my non-compete clause?

If there was a non-compete clause on your employment contract when you joined the company, you should negotiate for it to be revoked, regardless of whether it’s addressed or not, experts said. 

“One should definitely question, does this still hold true? Because I am not leaving the company; the company is letting go of me,” said Ms Agarwhal. 

“In that case, whatever opportunity comes my way, I will pick it up, because I need to find a job, I have bills to pay.” 

Non-compete clauses that apply after an employee is terminated are enforceable in Singapore only if the scope is reasonable and they protect a “legitimate proprietary interest” of the employer, said Mr Darren Tan, deputy managing director at Invictus Law. 

For example, a non-compete clause would likely be held unreasonable – and therefore unenforceable – if it prevents the employee from working in the same industry entirely, has no fixed duration of operation, or has no geographical limits.