How could sequestration affect my job?

In many cases sequestration doesn’t affect a person’s job, and you may be able to carry on working with no adverse effects on your current or future employment situation. But because sequestration is a serious step to take, it’s worthwhile checking your employment contract for any clause relating to debt or bankruptcy prior to becoming sequestrated.

There are certain lines of work that will be affected by sequestration, however, and could result in the termination of your employment contract. In general, these areas include:

• Financial services
• Legal sector
• Police force
• Prison service
• Armed forces
• Gambling industry

With regard to the legal sector and financial professions such as accountancy and auditing, the fact that these are highly regulated industries and require the individual to be licensed, often results in being barred from practice by their professional body.

Is self-employment affected by sequestration?

If you’re self-employed or a sole trader, the trustee will assess whether or not you can continue to trade – if your business is able to provide an income that can be used towards your sequestration payments, it’s likely that you’ll be allowed to carry on.

One factor that can affect your ability to operate efficiently, however, is whether you can obtain credit if you need it from suppliers, as you’re expected to inform them of your bankruptcy.

Additionally, if you change your name in the future, in the interests of transparency you’re obliged to inform anyone you do business with of your name when you were sequestrated.

Scotland Debt Solutions has been helping Scottish residents to escape debt since 1989. If you’re worried about how sequestration might affect your job, call one of the team to arrange a free same-day meeting.