Retrenched? Act now and come back stronger


Like the rest of the world, Singapore’s economy has faced significant negative impact, due to the COVID-19 pandemic. Employers were, and continue to be, left with little choice in respect of cost cutting. Unfortunately, these costs include staffing and recruitment, which means that over and above health, well-being, and safety concerns, Singaporeans are also anxious about being retrenched.

Facts speak louder than words; in 2020 alone, Singapore recorded one of the highest retrenchment periods our country has faced in the last decade, with approximately 26.1 thousand workers being let go1. The declining job market has led to Singaporeans feeling not as optimistic about finding new jobs. Some of their biggest worries2 include unemployment rates, difficulties in job searches, and losing their jobs. The possibility of being retrenched haunts many across the island nation, not just from an emotional or psychological standpoint, but also a financial one. Most people are stressed about the financial implications2 of being retrenched, and the impact this can have on:
  • Long-term financial health
  • Current and future debts such as loan repayments, credit card payments, or providing familial support.
Retrenchment can lead to huge financial concerns, and have a detrimental effect on one’s financial plan, but there is good news – it’s possible to get back on the saddle. To ensure that you’re in control of your finances, here are some practical steps3 you might consider taking, some of which may not even be directly related to finances.

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