Supporting workers during redundancy: Metricon

Metricon – a leading Australian home builder – employs more than 2,000 people across Australia and builds hundreds of new homes every year.  

The impacts of COVID-19 and growing headwinds buffeting the industry – rising labour costs due to a skills shortage, global material cost hikes and supply chain issues in the construction sector – meant Metricon had to make close to 200 roles redundant to manage costs. 

“As a family-founded and run business, our people are central to everything we do. It has been a challenging time for Metricon, and we made the difficult decision to offer a redundancy program. At every step of this journey, we tried to put the needs of our people at the centre of our decision making. We worked to deliver a clear and transparent process, with fair outcomes and effective career transition support for impacted employees.” Merril Hotchkin, Head of Human Resources 

Key to Metricon’s response was considering both the leaders delivering the notification messages and the impacted employees. The company developed a process comprising several stages: 

• Pre-notification phase – This phase involved being clear about the rationale for the restructure and developing a core and consistent message. The company identified impacted employees, considered their risks and developed career transition supports, including Employee Assistance Program (EAP) supports. They also supported leaders delivering notification messages, by planning for employees’ potential reactions and advising on how to respond.  
• Notification phase – The company developed a consistent structure for leaders to follow in notification meetings, e.g. conduct meetings in a private and confidential space and ideally in person; communicate the redundancy clearly and with empathy; stay on track and appropriately respond to the employee’s emotional reaction; flag any risks and engage an EAP if needed.  
• Post-departure from Metricon – Metricon worked with a Career Transition provider, to develop a support program, including matching impacted employees with job opportunities with other Insert image of someone in the construction industry. 

Drawing on its experience, Metricon has identified some lessons for others: 

• Think about the optimal date and time for the notification meeting. This will vary depending on individual circumstances. 
• Anticipate and prepare for different behavioural reactions. Have EAPs set up and details in the notification kit. 
• Provide onsite support with a career transition consultant who can provide an objective wellbeing check. If being offered, the consultant can also explain the career transition program and how the individual will be supported. 
• Think about the remaining staff and how you will respond to their questions and handle any reactions.