SVB-proof Yourself in Seven Steps
Four Minute Read
The SVB debacle was as bracing as an ice bucket challenge. It’s a sobering reminder of the fragility of institutions.
The only constant in life is change. So we all need to be prepared for the curveballs that life throws us.
Even highly-regarded companies are susceptible to rapid changes in sentiment. The financial sector is particularly vulnerable to crises of confidence, given the financial leverage they employ.
As an employee, you need to be prepared for a potential missile to the bow of your company.
Here are some things you can do to protect yourself from nasty surprises:
Keep your personal data separate from your company’s. Don’t use company email for private matters like e-commerce, personal account logins, etc. There may come a day when you and the company part ways, and you’ll be locked out of your business email. You should never use company email for job search, since almost every company tells its employees that their email (and maybe all computer activity) is being monitored. Do your job search on your own devices. The same practice goes for storing your contacts. If you intermingle your personal contacts with business contacts, you may not have the opportunity to hold onto them if you leave the company.
Speaking of data, keep and regularly update a record of your achievements. It’s a good idea to keep track of your accomplishments at work. The best resumes are those that are quantitative in nature. For example, “increased annual leads sourced by 24% a year over the last three years.” “Reduced costs by 18% through vendor agreement renegotiation.” Revisit this record every quarter to include your latest accomplishments. Of course, anything you use needs to comply with your confidentiality requirements as an employee.
Maintain a cash reserve in case you lose your job, or your company is unable to make payroll. As of this writing, companies using the banks that have recently been shut down will have access to all their funds to make payroll thanks to government backstops. But your employer may simply run out of money, or you may be let go. A good rule of thumb is to have six months of living expenses in cash in case you need it.
Keep your network warm at all times. Your contacts are valuable when you’re working and when you’re not. Too many people think of networking as something you do when you’re looking for a job. It’s important to keep your relationships active at all times and to be constantly adding to those relationships. Make it a point to have a couple of walk and talks, coffee chats, and Zoom catch-ups each week.
Take the calls of recruiters and companies and learn about opportunities even if you are happy where you are. Most people leave bosses, not companies. You never know when the reporting lines are redrawn, and you suddenly find yourself unhappy with no easy remedy. By having conversations with companies and recruiters, you’ll gain valuable market intelligence, especially about how industries are evolving. Even within a sector, competitive winds change, and what was once a thriving specialty is no longer in favor. Speaking with people outside your company is a great way to keep current. Also, helping out recruiters with recommendations of people you know if they call about a search that isn’t for you is a great way to build personal capital. Perhaps they’ll come back to you with the next great opportunity?
Know your rights. Keep your own records of your paid time off. Keep copies of any offer letters or employment agreements you received, which may include non-compete provisions. Keep a copy of your employee handbook, which may detail companywide policies if you leave the company. Maintain your own file of option grants, commission plans, and other compensation agreements. All of these employment documents and agreements belong in your personal file at home.
Above all, If something bad happens, remain constructive. I’m not going to say “remain positive” because things like getting laid off truly suck. And you have a right to be upset and unhappy about it. But you ultimately need to pick yourself up, dust yourself off, and take the steps necessary to improve your situation.
With a little foresight, you can avoid a lot of headaches. Be prepared, and things will go a lot smoother if you’re dealt a bad hand.