The case was developed using primary data derived from Yaya’s first-hand account of his experience with job insecurity, providing an authentic narrative of the events described. To protect confidentiality, the names of individuals and the organization, as well as certain demographic details, have been anonymized. The study was approved by the ethics committee of the Gordon Institute of Business Science, University of Pretoria.
This case examines the dual issues of job insecurity and decision-making under financial pressure through the perspective of Yaya, a young project engineer at Thrive, a Johannesburg based provider of warehouse automation solutions. Thrive, founded in 2015 by Peter (Chief Executive Officer) and Mary (Chief Operating Officer), had grown to approximately 50 employees and built a reputation for innovation and employee loyalty. However, following the loss of a major client, the company posted an unprecedented financial loss in 2022. The founders disagreed on how to respond: Mary advocated for restructuring and transparent communication with employees, while Peter resisted, fearing that disclosure would create unnecessary job insecurity.
Starting in January 2023, Thrive paid employees’ salaries late, and in later months only paid them partially, yet no formal communication was issued beyond intermittent assurances of “temporary cash flow problems.” For Yaya, who had previously experienced retrenchment, these developments triggered significant anxiety about his job security, financial stability and eroded his self-efficacy. As the months progressed and salary disruptions continued, his savings dwindled and the emotional strain intensified.
By May 2023, Yaya faced a critical decision: remain at Thrive while searching for alternative employment and hope that the company recovered or resign to look for another job full time.
After consulting his “personal board of directors”, that is, his mother, girlfriend, brother and mentor, he chose to resign. To his surprise, Thuli refused to accept his resignation immediately and granted him three days to reconsider, believing he had a promising future at the company.
This case study is appropriate for undergraduate and graduate courses in organizational behavior (e.g. job insecurity and decision-making), human resource management (e.g. psychological contracts and employee wellbeing) and leadership (e.g. organizational communication, culture, decision-making and people management during organizational crises). It can also be taught using different modalities, that is, in-seat, hybrid and online. The case was classroom-tested in an executive education leadership program at the Gordon Institute of Business Science, University of Pretoria, South Africa.
