Every night when I watch the news I wonder who’s going to be laid off next, how many people will lose their homes this month,  and will those of us who want to purchase a home be able to get a loan? You know things are bad when even the post office is thinking about cutting out one delivery day. So what’s causing all of this bad news? And if you or someone you know is in one of these situations how can you cope and what steps can you take to survive this crucial time?

Possible Causes of Lay-Offs

There are many causes to increased layoffs making the nightly news and affecting our families and friends.

1. Mergers and acquisitions may expand market potential, but can often result in rounds of layoffs for workers.
2. The United States economy has slowed down dramatically.
3. Banks are not loaning money to businesses and individuals so they can spend and stimulate the economy.

Emotional Reaction

It is natural to feel fear, loss of self-confidence, and loss of control after being laid off. Most people follow a range of emotions when dealing with their new situation:

1. Denial
2. Anger
3. Acceptance
4. Commitment

What You Can Do

Examine your financial situation. This may be especially hard if you live paycheck-to-paycheck. Examine your savings account, checking account, retirement account, insurance policies, and any other sources of income. Examine your monthly budget. Look for ways to cut your expenses. Determine how long you and your family can go without a steady income.  Try not to panic; this is part of taking control of your current (and temporary) situation. This is a good time to explore our Money Basics class which covers topics such as managing money, budgeting, staying out of debt, and plenty more.

Talk to friends and loved ones.Avoid the temptation to keep your emotions to yourself. Instead, garner support from friends and family. You will need their support and reassurance.

Get a written record of employment from your human resources office. Request a letter of recommendation from your manager. While you’re at it, gather human resources information from your company. Learn what your company’s policies are regarding layoffs.

If you are lucky enough to have a severance package, request its details in writing!

Practice your self-marketing skills. If you haven’t been in the job market in some time, hone up on interviewing, cover letter writing, resume writing, and job searching skills. Save yourself some money and visit your local library’s career development section. Taking an active approach to finding your next job will help you feel more empowered and in control of your life.

Take time to assess your career interests and skill set. Were you happy in your last job? Feel like you’ve always wanted to pursue a different career? Now may be your chance. Explore additional training opportunities; there are a variety of online services that can help you determine a new career path. You could relocate, change careers, go back to school, find a better job… a world of possibilities is now open to you. You can find plenty of great resources in our Career Development section.

Set daily goals pertaining to your job search. Think about setting aside two hours of your day to search for jobs. Spend one hour searching and one hour submitting your resume or contacting potential employers.

Make social contact on a daily basis. This is especially important. Don’t regress and spend all day watching TV, not talking to anyone. Tell everyone you know you’re in the job market. Network with everyone you can. Be ready to talk about your skills and career interests. They old saying goes, “it’s not what you know, but who you know.”

Feeling alone, out-of-control, or depressed is normal. However, you may need to seek counseling if these feelings persist beyond a few weeks and keep you from pursuing your job search.

Have a positive attitude! Focus on what you can control in your life, not on what you can’t.

Helpful Resources

• Suze Orman
• Unemployed Workers
• US Department of Labor
• Understanding Economic Stimulus