What If You Have Been Retrenched? Look toward the Bright Side: Capitalize on Your Psychological Capital

Abstract

The worldwide economy is recovering from a period of turmoil. After the failure of several financial institutions, the overall global economy experienced a significant slowdown. Many companies announced downsizing plans, and a large number of people lost their jobs. During difficult times, retrenchment is like a sword hanging over employees’ heads. This paper offers guidelines on what to do if you experience retrenchment. A case example and action plan provide guidance to help engineers cope with the difficult time of searching for a new job. The paper also discusses how one’s psychological capital (PsyCap) can help one cope with difficult times.