Preparing for a Layoff
Steps to Take When a RIF Might Be Coming
When times are tough or companies merge, it is common for employees to be laid off. If rumors of a RIF loom, take some steps to make it easier if it does happen.
Whether a country is in a recession or companies merge, it is possible for a reduction in force (RIF) to occur. Though RIFs sometimes occur without warning, rumors often start weeks or month in advance. There are steps to take once those rumors start that can make being laid off easier.
At Work
Though no employee is necessarily safe from a layoff, it is also good to not become a target. If email, phone lines or company credit cards are issued, do not use them for anything that might be considered personal use. Do not research open jobs or update a resume or CV at work.
Check into benefits. Does the company have a history of paying severance? Will vacation or personal days be included in the layoff package? How long might the company continue medical benefits before COBRA payments are necessary?
Even with advance warning, a RIF will send most affected employees home upon notice. A two week notice might be two weeks of pay and employees leave immediately. Obtain contact information from colleagues when rumors start so there is someone to contact for references. If possible, get a copy of personnel files or even a manager’s letter of reference in advance.
Personally
Learn what the state has available for unemployment services. Determine who to contact to file for unemployment benefits and what services are available for job searching or educational assistance. Polish that resume and prepare to send it out.
Acknowledge and work with feelings of depression and anger. Speak with a close friend or spouse, write it all down, have a good cry, go for a run or play sports to release the energy. Reach out to others who have been through a RIF or are going through it now. Remember that this might be the end of one job but also the potential beginning of something different.
At Home
A layoff is financially challenging for individuals and families. A savings account with three to six months of expenses is recommended, but not always realistic. Try to pay all monthly accounts one month in advance; this will give a cushion of time to pay if finances get tight. Also, stop using any credit cards and live off of cash on hand, which will keep debt from rising and provide a feeling of how to live within available money.
Fill the cabinets or pantry with non-perishable items. Use coupons to make the food money go further. Having extra food on available will reduce worries about purchasing it when the money is tight.
Speak with other family members and explain the situation. No one likes stressful surprises, but most importantly everyone will experience this together and can come up with the best way to survive if the RIF occurs.
