Statistically Speaking: Everyone in his or her lifetime may be laid off once and it is an alarming moment and one of life’s challenges, but you are not alone, and there is a satisfying life afterwards.
Updated December 2011:
United States Department of Labor Employment Situation Summary dated October 7, 2011:
U.S. Dept. of Labor Employment Summary 10.7.11
From the U.S. Bureau of Labor Statistics:
U.S. BLS.Gov MLS Report 1025 December 2010
Economic News Release August 2011
- The U.S. Bureau of Labor Statistics (BLS) conducts the Mass Layoff Statistics (MLS) program to provide information on large-scale layoff events and the characteristics of the dislocated workers. This report summarizes the data on extended layoffs for all of 2009. Extended mass layoffs, as defined by the MLS program, refer to layoffs of at least 31 days duration that involve the filing of initial claims for unemployment insurance by 50 or more individuals from a single establishment during a period of 5 consecutive weeks. Since 2004, the detailed reports no longer cover Government and agricultural layoffs. Additional information about the program is provided in the technical note that follows the tables.
- In 2009, employers laid off about 2.1 million workers in 11,827 private non-farms extended mass layoff events. Both layoff events and separations rose sharply from 2008. The numbers of layoff events and separations in 2009 registered their highest levels since annual data became available in 1996. Most of the increase in 2009 layoff activity occurred in the first quarter.
- In terms of worker separations, historic highs for the data series were reached in 16 of 18 industry sectors, all 9 geographic Census divisions, and 28 States. Layoffs attributed to business demand factors (especially slack work or insufficient demand) accounted for more than 825,000 worker separations, the highest annual level due to demand factors on record. Layoff activity involving permanent worksite closures accounted for 9 percent of all extended mass layoff events and affected 237,821 workers in 2009. Thirty-four percent of employers reporting an extended mass layoff in 2009 indicated they anticipated some type of recall of workers, the lowest proportion since 1996. The total number of business functions reported by employers in non-seasonal layoff events in 2009 was 18,865, an increase of 55 percent from 12,177 business functions a year earlier.
- In 2009, the average national unemployment rate was 9.3 percent; a year earlier, it was 5.8 percent. Private nonfarm payroll employment decreased by 5 percent, or 5,910,000 jobs, from 2008 to 2009.
- Unemployment rates were lower in January than a year earlier in 282 of the 372 metropolitan areas, higher in 73 areas, and unchanged in 17 areas, according to the U.S. Bureau of Labor Statistics reported March 18, 2011. Sixteen areas recorded jobless rates of at least 15.0 percent, while five areas registered rates of less than 5.0 percent. Two hundred sixty-six metropolitan areas reported over-the-year increases in nonfarm payroll employment, 93 reported decreases, and 13 were unchanged. The national unemployment rate in January was 9.8 percent, not seasonally adjusted,down from 10.6 percent a year earlier.
- In 2009, twenty-eight States—Alabama, Alaska, Arizona, Arkansas, California, Delaware, Florida, Kansas, Kentucky, Maryland, Minnesota, Missouri, Montana, Nevada, New Jersey, New Mexico, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Vermont, West Virginia, Wisconsin, and Wyoming—reached their highest annual totals of laid-off workers.
Please remember the phrase “It isn’t personal, it’s business”. Many companies will lay off employees due to downsizing, eliminating positions, restructuring, contract cancellation or completion, seasonal reasons, closings, domestic competition, financial issues, and slack work.
- Manufacturing accounted for 44 percent of layoff events and 38 percent of separations resulting in a worksite closure. Retail trade accounted for 19 percent of the layoff events and 28 percent of separations resulting from closures during the year.
For more detailed Information, please follow the link below:
U.S. BLS.Gov MLS Report 1025 December 2010
Protecting yourself beforehand while remaining Positive in the Workplace:
1. Your resume and portfolio should continuously be updated-listing your ongoing accomplishments, strengths, and skills.
2. Accept any trainings and classes that have to do with your position within your current organization as well as in other areas that will benefit the company and you.
3. If possible, enhance your current job skill set and education.
4. Anything and everything that you have proposed, projects you have worked on, production accountability, creations, anything you have written, any awards/achievements pertaining to your position, your evaluations, recommendations, certificates, and everything else that were your ideas with successful outcome for the company should be documented and saved within your personal portfolio electronically and hard copied on your own personal technology and residence. Many times in a layoff a company will call you or a group into a random, time sensitive, and discreet setting and you will be dismissed from employment.
At this time you will not be able to access your computer or any work area alone. You will only be able to access your personal belongings. This is why everything you have created and/or proposed during your employment should be on your own personal electronics and/or at your residence. You also should open an alternative email address besides your work email address. During a layoff many employees are surprised when they are informed that they cannot go back to their work stations and are immediately walked out with all the paperwork and instructions. All your permissions with that company have already been locked. It may be hard to understand at the time, but the organization has to be secured during a layoff. It is for not only your protection but for others within the organization, and the business at hand.
5. Check out other positions at various companies locally and distant. Having this knowledge and a back up plan will make the transition period of looking for another position much easier.
6. Know the organization financially you work for by researching their quarterly and annual reports. Are their profits in the black or in the red? Are their profits plunging or increasing continuously? Stay “Tuned” in.
7. Read articles concerning the companies that are on the list for a possible buy out or bankrupt. Is your company consistently named?
8. Look for the signs within your company- budget tightening, hiring freezes, firings of upper management, potential buyers,
financial/efficiency consultants looking at the extent of distribution of job load/titles, moving of positions and people, some rumors are legit-listen but don’t indulge in them. Other signs of impending layoffs are movement of inventory, sparse inventory on hand, travel cuts, no communication or strategy, considerable decrease in loop emails/correspondence, back to back dismissals,
lighter or greater workloads for various individuals, scapegoats of errors, pay cuts, unknown faces, and new & additional security.
9. Evaluate your own financial status and if possible hire a Financial Advisor to assess your current situation. Plan for the emergency.
10. Know your legal rights, laws of your state, union, basis of discrimination claims, severance, and COBRA rights beforehand.
11. Please remember kindness is always remembered. If you have treated everyone in your day to day activities in a positive and cordial manner than those expressions will be recognized. If you have treated others continuously in a rude deliberate manner; those gestures will also be remembered. Consider this respective quote: “Be nice to everyone because you never know who your next boss will be”.
* Many states are “At-will”- the employer is free to discharge individuals “for good cause, or bad cause, or no cause at all,” and the employee is equally free to quit, strike, or otherwise cease work.
The Big Layoff and the steps during the exit:
OK, the time has come and you have been let go, terminated, laid off, down-sized. It may only be happening to you at this point or an entire group of employees. Many emotions are going through your mind and body. It is hard to not have spontaneous feelings, but please remain calm before signing or saying anything. This is very important for your sanity and for your future.
It isn’t personal, although it feels that way; it is only business. Remain focused at this time and think of the term “Poker Face”. Yes, the evaluation of a low hand in the game of Poker and the protected jackpot as well as in Chess and remaining calm while planning your next move quickly yet tactically. Your job is the protected jackpot, and you are the king that needs protection. You will feel as though you have been “Checkmate”, but unlike a card game or board game that you can put away and walk away from it is your life and it isn’t something you can store away for another day. The actions you display during a layoff are you, and you cannot walk away from them. The adrenalin you feel at this point inside could be all over the place, please keep it sheltered and composed. It is time to guard you and all your assets within this termination respectively and responsibly.
Very significant: Please remember that some employees are terminated temporarily and asked to come back. This does happen more than you may think. Many individuals have been called back within one month of a lay off due to error within the organization while preparing the separation of employees versus positions. By remaining calm, intelligent and professional
during the initial layoff period could be advantageous in your future within this institution or elsewhere. How you handle yourself at this point of time will be looked at closely. A meaningful & powerful quote by Thomas Woodrow Wilson; “If you lose your wealth, you have lost nothing. If you lose your health, you have lost something. But if you lose your character, you have lost everything”.
Professionally speaking much can happen to you within that time of the initial lay off and when they call you for a rehire/reinstatement. Within that time you may find another position at another company, may be attending college, relocated, and/or realized that there is another career that has opened up an opportunity for you that suits you much better.
Another encouraging excerpt: Many employers will recommend various employees to other organizations that they are laying off due to their continuous exceptional job performance, and you may be given a letter of recommendation for another company and outside contacts for employment. If you are not offered a recommendation letter, you can ask for a recommendation epistle from a valued member within the organization.
*At this point it may be possible to negotiate for a termination clause; which will protect you for future employment by recording that you resigned and states you are eligible for rehire within their company.
Sentiments: During this process you will feel mixed emotions {pain, rejection, dismissal, tenderness, unhappy, disappointment, failure, anger, and exhaustion}. Letting go of a job is a grieving process. It was a relationship in your life and sometimes it was life-long. Remain focused at this time. As hard as it may seem and be plausible, it is and will be. A termination can give you inner strength and turn your life around by discovering your real strengths, skills, and assessing your weaknesses. By taking your time to really think about everything, will lead to acceptance and stability.
After the initial lay off you will be asked to sign exit documents, one of them is your severance package. You may be able to negotiate that severance pay depending on union, contract, and other conditions of the lay off. Please remember the term “At will” and the employer not being obligated to pay out a severance pay. However, many employers will offer 2 weeks to six months plus compensation of your current salary and the unused vacation/sick/floating holiday pay. Your employer may not give you an option on how the severance pay will be paid out to you. If you are given one lump sum, you can collect unemployment quickly but the IRS will tax it as a bonus. If you have the severance paid as if you were receiving a regular bi-weekly paycheck you won’t have a tax bite but you cannot collect unemployment until the severance is used. Please keep in mind to ask your employer about your vested interest and not to take out voluntary contributions to your 401k. You want to roll this over into an individual IRA. Another consideration will be if you have had any stock options. You will be given information regarding choices of your stock options. At the time of a lay off, the HR department of the organization has already prepared all the exit separation paperwork and you may not have time to hire someone to overview your compensation. You will have to make a decision and sign the paperwork. If you are not given an option, and are given a lump sum of your severance package, you may have a check issued you on your exit. If possible, and depending on your individual circumstance with a contract allowance, pending projects, monies involved, and time allotment, you may want to hire an attorney for your financial protection before signing.
You will also be given other information and one of the most important is Health Insurance.
COBRA- COBRA Insurance.com-COBRA Law
During this exit process you may be asked to sign a Non-Compete Clause, depending on the type of industry- the employee agrees not to pursue a similar profession or trade in competition against the employer.
You may also be asked to sign a Non Disparagement Clause- the employee agrees not to make any statements, written or verbal, or cause or encourage others to make any statements, written or verbal, that defame, and criticize the organization’s reputation. Even without a Disparagement Clause you should never bad mouth the boss, people and company to others, never write them a letter in the heat of the moment, and never seek revenge.
Now it is time to go home and tell your family, friends and contacts. Never give this type of news on the phone, email or text. This is something that you should talk with your family and close friends in person. They will all be your support line during this difficult time in your life. They will be there for you to help you get through this as progressively, constructively, securely, and respectfully as the time expedites to a new position/career for you.
Don’t get down on yourself and Do get your future life in order:
- Prepare a realistic budget and stick to it for a long-term basis. No blowing your severance package allowed!
- Keep a daily schedule and keep busy as if you were working. You are still working but toward a new “YOU”.
- Reinvest in your life by writing down a list of pros and cons of the position you were terminated from. Make a list of what you loved about your position/career, what the company did for you and what you did for them, what you really would love to do in life, your skills, your weaknesses, education background, your past work experience, what you are interested in, what you would need to pursue the new career you would like to have, your work style, your personality, your current life situation, and a goal timeline.
- Capitalize on your strengths, take responsibility for your weaknesses and manage them effectively. Review your natural talents and abilities; endorse them. Enhance your skill set.
- Look at your obstacles at this point. What is preventing you from seeking a different career, and what do you need to do to make that happen? Get past the fear of failure.
- If possible, seek a Career Counselor to assist you with your future career.
- You may want to look at the different programs at college’s in your region or online for new education goals. You may be able to test out on some of your job experience through the college.
- Check regionally for incentives through work programs that may pay for your classes due to being unemployed.
- If you haven’t updated your resume and portfolio, now is the time while on unemployment, going back to school, and/or searching for a job. Seek out your contacts and college alumni for any information they may have regarding jobs.
- Run your own background check and credit check to eradicate any incorrect information.
- At this time you should network and engage with support groups in your job search quest.
- Volunteer within your community face to face for a cause that is close to your heart. You never know where it may take you.
- Go onto the web for positions you are qualified for. If you are able to relocate, search in those regions.
- Check out the online Job Opportunity sites for what the growing trend of jobs are and what will be needed to meet their organization’s job qualifications. What do you need to do now to better your resume?
- Renew yourself with current interviewing procedures and prepare yourself for them. You may have interviewed with your last position 5 years, 10 years, and 20 years ago. Interview and application processes change during a span of time. Role-play an interview with someone you trust for honest feedback of how you handle yourself. Prepare, prepare, prepare.
What type of employee will you be?
What type of employee are they looking for?
What do the questions mean that the interviewer is asking?
Am I communicating with the interviewer correctly my skills, qualifications and abilities for this position?
How are my eye contact, body language, voice tones, and professional appearance?
Types of interviews:
Phone- Conference phone call between you and the employer and possibly a few other employees that will be working with you. This is usually a screening to see if an applicant earns a face-to-face interview. Your voice and tone is the sole importance for this interview. Articulate, and don’t eat, drink or chew gum while on the phone. Disable any type of phone tools that may interrupt. And always make sure that all possible distractions are taken care of beforehand and will not happen during the phone interview.
Web-Usually an interview when it is long distance. You will be on camera; which can make some feel uncomfortable. You may want to practice with a “Straightforward Friend” beforehand and review your sitting position, body language, appearance and voice tones. Tape yourself and critique it beforehand. This will assist you in feeling much more comfortable once you interview.
One on one-A structured face-to-face interview with one person.
Restaurant interviews- A meal setting for an interview. Utilize etiquette, manners and pleasantries while eating and communicating with the employer and staff of the establishment. The employer wants to see how you are socially and how you treat others. Be natural, polite, and please remember your napkin goes on your lap, never order messy food, and say no to alcohol.
Panel/Group- An interview process that will consist of several people from the department you will be working with and/or HR. Each person on the panel may each ask you questions. Good humor is the rule here and show them that ease. The person asking the question should have your eye contact and body language at first, and then speak to everyone. When you leave, ask for everyone’s business card to follow up with and to send your thank you cards/notes to.
Series of interviews {Phone, Panel, and One on One}- Step one is a phone interview. Once you get through it successfully you will be asked to interview in front of a panel/group, and then you could be recommended to interview with the head of the organization in a one on one interview. During this process you may be asked to perform a presentation of your work depending on the position you are interviewing for.
Closing of the interview: Once the interviewer begins to close the interview, respond that you are very glad that you had the chance to talk with them. Ask them when they expect to reach a decision and if you may contact them at that time?
After the interview: A thank you card/note is appropriate. The handwritten note should be sent to each interviewer as quickly
as possible-24 hours
- Utilize job search sites and local organizations career websites, network, join alumni/career groups, and attend job fairs.
“LinkedIn” is a positive social network for
employment: LinkedIn
LinkedIn has currently 500 employees with headquarters based in Mountain View, California and the European office centered in London, England. Their Customer Service center is based in Omaha, Nebraska. They also have smaller sales offices in San Francisco, New York, Chicago, Sydney, Mumbai and Amsterdam. On average 36.5M people visit LinkedIn every month. As of
January 2011, LinkedIn counts executives from all 2010 Fortune 500 companies as members; its hiring solutions were used by 69 of the Fortune 100. More than one million companies have LinkedIn Company pages.
Research, Research, Research! Check out the organizations that you are interested in before sending your application/resume:
Entrepreneurship- Many individuals that have found that they were suddenly out of a job have started their own business.
Being your own boss and how to begin:
U.S. Small Business Administration.gov
Free Entrepreneurship courses:
MIT Open CourseWare-Entrepreneurship
OpenLearn.ac.uk Entrepreneurial Behavior
Free “No Credit” Online Courses ~ What a perfect time to learn something new!
There are many colleges, universities, and organizations that offer free of charge no credit online courses. This is an opportunity for you to learn from an easy access of:
- Video
- Coursework
- Lecture notes
- Podcasts
- Exams
Free online courses are not a replacement for a college/university education.
However, if you are looking to merely gain knowledge of a certain subject matter at your leisure; then you may enjoy and benefit from this form of educational experience.
Please remember the particulars of this type of opportunity:
- You may have to register an email address
- No credits, no certificates, and no degrees granted
- No availability of professors, faculty, support and tutor/assistance
- No class discussion or group study
- Course materials if needed could be pricey with a lesser time of complete course study.
List of various colleges and universities that offer free “NO CREDIT” online courses:
Berklee College of Music-Berkleeshares.com
Carnegie Mellon.edu Open Learning
Harvard University Open CourseWare.edu
John Hopkins Open CourseWare.edu
Kaplan University Open Course Ware.edu
Khan Academy.org Free Courses Online
Kutztown University of Pennslyvania free courses
Massachusetts Institute of Technology Open CourseWare.edu
New York University Open CourseWare.edu
Stanford University.edu/itunes
University of California-Berkeley.edu – Free Courses Online
University of Michigan.edu Open Education
University of Notre Dame Open CourseWare.edu
University of Washington Open CourseWare.edu
Utah State University Open CourseWare.edu
Vanderbilt University.edu/itunes
Publications that can enhance your Life- Personally, Financially, and Professionally in the Present and for your Future:
There are many positive circumstances that come after a layoff. A numerous amount of individuals find that afterwards they became a better person and are able to be in a career and organization setting that they were always meant to be in. Only you can change the future and it is a big life change that will introduce many exploratory and beneficial surprises that you never expected, but will flourish in. Best of luck!
Written by: Judy Steeg
