Everyone remembers the first time. The pain, the emotion, the tears and the fear of not knowing what was going to happen next. I’m talking about being laid off.
It was April 4, 2006. The entire staff of the magazine I worked at was ushered into a conference room (never a good sign). There were general something-bad-is-about-to-happen vibes and then it was announced: The magazine was folding and we were all out of jobs. It was an out of body experience. At that point, my job was my entire life: my income, my entire group of friends, my creative outlet, the reason I moved across the country to NYC.
But I got through it.
And then it happened again, and again, and again…and again. That’s right. I’ve been laid off five times, and each time I’ve been given “the Talk,” the feelings of hopelessness, self-doubt, panic and anxiety come back. They say practice makes perfect, though, and I’ve become a pro at licking my wounds and getting back on that job hunt pony.
So if you’re searching for how to deal with job loss, here’s what I’ve learned from someone who’s been there several times, plus the practical steps to take in the first days, the first weeks and the interviews that follow.
What to do in the first 48 hours after a layoff
This will feel completely backwards, but the best thing you can do the day after you lose your job is almost nothing. Sleep in, go to the museum, catch up with a friend, paint your nails, bake something. Decompress and get centered before you make a single decision.
“You’ll be licking your wounds, so self-care is your number one priority,” says Keva Dine, a creative industry recruiter and personal branding coach. “It’s like when you come back from a redeye and you’re completely thrashed. Take it easy.”
Lying low also keeps you from doing something you’ll regret. Executive coach Liz Bentley says: “My advice is to take a deep breath and not be reactive, because people can spiral in different ways, by retaliating or by doing or saying something they later regret.” Break ups are hard, especially when they involve losing your health insurance.
Once you’ve had a day to breathe, run through this short list while the details are fresh:
- Get the terms in writing. Ask for your last day, your final pay date, any severance offer, and how your benefits end.
- Don’t sign anything on the spot. If you’re handed a separation agreement, you can ask for time to read it. If it’s complicated, a lawyer’s read is worth it, and a lawyer’s tips on severance can help you know what to ask.
- Save what you’re allowed to save. Copy your own performance reviews, your contact list of colleagues, and samples of your work that aren’t confidential. Don’t take anything that belongs to the company.
- Ask about references. Find out who will vouch for you and what they’ll say.
- Say goodbye on your terms. A short, kind note to the people you want to stay in touch with beats a long, emotional one.
Unemployment, severance and health coverage: the steps to take this week
This is general information, not legal or financial advice, and the rules vary by state and employer. Treat it as a map of what to ask about.
File for unemployment benefits right away
The U.S. Department of Labor says each state sets its own eligibility rules, and you generally qualify if you lost your job through no fault of your own, which in most states means a lack of available work. You file with the program in the state where you worked, and the Department of Labor advises contacting it as soon as possible after becoming unemployed. The first payment can take a couple of weeks after you file, so don’t wait until you’re nervous about money.
Understand severance before you count on it
Severance sounds like a rule, but it isn’t. The Department of Labor states that federal law doesn’t require severance pay. It’s a matter of agreement between you and your employer, often tied to how long you worked there. If you were offered some, read the terms carefully and ask questions before you sign.
Sort out your health insurance
If you were on an employer plan, you may be able to keep it for a limited time through COBRA, which generally applies to employers with 20 or more employees. The Department of Labor explains that you may be required to pay the entire premium, up to 102 percent of the plan’s cost. That’s often a shock, because you’re now covering the share your employer used to pay.
COBRA is not your only option. Healthcare.gov explains that one application can show if you qualify for a Marketplace plan, Medicaid or CHIP, and that your savings are based on household size and estimated income. Compare the two before you decide, and ask your former employer or plan administrator about your deadlines so you don’t lose coverage by accident.
Ask whether the layoff came with required notice
Some large layoffs and plant closings fall under the federal WARN Act, which helps ensure advance notice of qualified plant closings and mass layoffs. If you think yours should have come with notice, the Department of Labor page points to the WARN regulations and its guidance tool for the details.
Get your final paycheck details
Rules on when final pay and unused vacation must be paid differ from state to state. Ask HR for the date in writing and check your state labor department’s website if it doesn’t arrive.
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Build a simple money plan before you start applying
A layoff is stressful partly because you can’t see the end of it. A plan makes it smaller. You don’t need a spreadsheet masterpiece. You need four numbers.
- Your must-pay costs each month. Rent or mortgage, utilities, insurance, minimum debt payments, groceries, transportation.
- What’s coming in. Severance if you have it, unemployment benefits once approved, any partner income or side work.
- Your cash on hand. Savings, plus anything you can access without penalties.
- Your runway. Divide your cash by the monthly gap between must-pay costs and income. That’s roughly how many months you have to find the next thing.
Then cut the nice-to-haves that won’t be missed, call your landlord or lenders early if a payment will be tight (they’re usually more flexible when you call before you’re late), and pause new big purchases. If you didn’t have a cushion before this happened, building an emergency fund is the first thing to start again once you’re back on your feet.
Skip the application frenzy and use a strategy
I can’t tell you how many times I’ve fallen into the same daily pattern: wake up, open the laptop, open a dozen tabs of job boards, and send resumes into the void. It feels productive. It usually isn’t. The job application frenzy is an easy hole to get sucked into and an even easier one to burn out in.
“I really discourage people from hopping on job boards and sending their resumes everywhere,” says Dine. “If you don’t have a strategy on what you’re doing, it can be a black hole. You’re just wasting your time and wasting huge amounts of psychic energy. You’re going to burn yourself out.” Bentley agrees, but adds: “Of course, people get jobs from online applications, but you have to be really well-positioned for them.”
The takeaway: applying online is part of your job search, just not all of it. Set a daily cap (say, a few targeted applications) and spend the rest of your time on the things that work better.
- Update your resume first. Our resume writing tips and template are a good place to start.
- Tailor each application. Three strong applications beat thirty copy-and-paste ones.
- Keep a simple tracker. Role, date, contact, next step. It stops the spiral of wondering what you already sent.
Lean on your network and ask for help
Liz Bentley suggests turning to the people you know: “Your network is always going to be your best, best bet, much more than applying for jobs online. Anyone who can make an introduction for you or provide a personal recommendation is key.”
The idea of networking makes most people groan, me included, but it doesn’t have to mean events and awkward lunches. I’m an introverted person. Schmoozing and I don’t go together. I am, however, a great emailer, so I always write to people I’ve built relationships with over my career. It’s 100 percent OK to ask for a small favor now and then. Most of my job opportunities have happened this way. If you want more ideas, read how to network your way to a job you actually want.
A short message works best. Try something like: “I was laid off from [company] last week, and I’m looking for [type of role]. If you hear of anything, or know someone I should talk to, I’d really appreciate an introduction.” Be specific about what you want. Vague asks get vague answers.
If you’d rather go straight to a professional, Dine thinks working with a career coach or recruiter is a must. “Find a coach that you connect with and can help guide you, so you don’t feel alone,” she says. “You need someone to look at your job hunt objectively, like you are a marketable individual.”
How to explain a layoff in an interview
Every interviewer has heard “I was laid off” before, and most won’t flinch. What they’re listening for is how you talk about it. Keep it short, factual and forward-looking.
- Say it plainly. “My team was part of a company-wide reduction.” Skip the blame and the drama.
- Don’t apologize. A layoff is a business decision, not a verdict on you.
- Pivot to what’s next. End with what you’re looking for and why this role fits.
A sample answer: “My role was eliminated when the company restructured, along with several others on the team. I’m proud of what I delivered there, especially [one specific result], and I’m now looking for a role where I can do more of that.” Practice it out loud until it takes about twenty seconds. If you want a deeper script for the open-ended questions that follow, see our guide to what to say after losing a job, which covers the emotional side as well as the interview talk.
Shift your perspective, but only when you’re ready
Could losing your job be a good thing? Once you stop the eye roll, stay with me, because for me it has been. I owe my present successes to every single job that kicked me to the curb. Each time, it made me reevaluate my choices and what I wanted to do next.
“Sometimes, you end up realizing that you were in the wrong job for you,” says Bentley. “That’s why it’s a really important time to take inventory of what you want, where you want to be, and what resonates with you.”
It’s true in my story. When I lost my magazine job, I pivoted into digital content. When I got laid off from being a web editor, I turned my skills into brand marketing and copywriting. Now I’m a Jill of all trades who can take her pick of projects. It took time to see that, and it’s fine if you can’t see it yet. If part of what you’re feeling is dread about going back to a workplace that wore you down, read about recovering after a toxic job.
Stay the course
It will probably happen again. People no longer work for the same company for 40 years and retire with a pension and a nice pen. “The likelihood that you’re going to get laid off during your career is pretty high, let alone laid off once, but multiple times,” says Liz Bentley.
Not exactly what we all wanted to hear, but take solace in the fact that we’re all riding this career rollercoaster together. Sometimes we might need a barf bag, but we get back on for another spin. Take care of the money, take care of yourself, and let people help.
Ready to start looking? Find your next role on the Girlboss job board when you feel up to it, and not a day sooner.
Frequently Asked Questions
How long should I wait before applying for jobs after a layoff?
There’s no set number, but give yourself at least a couple of days to absorb the news before you start applying, while filing for unemployment and sorting out insurance right away. Many people feel clearer after a week of rest and a basic plan.
Can I get unemployment if I was laid off?
Often, yes. Each state sets its own rules, and layoffs generally count as losing a job through no fault of your own. File with the unemployment program in the state where you worked, and have your employment dates and pay information ready.
Should I take the severance offer?
Severance isn’t required by federal law, so the terms are whatever you and your employer agree to. Read the agreement closely, ask what you’re giving up by signing (such as the right to sue), and consider asking a lawyer to review it before you sign.
Do I have to tell my network I was laid off?
You don’t have to announce it publicly, but telling trusted contacts directly is one of the fastest ways to hear about openings. A short, specific message about the kind of role you want works better than a general “I’m looking” post.
Is it normal to feel grief after a layoff?
Yes. For many people, work is tied up with income, routine and friendships, so losing it can feel like a breakup. If sadness or anxiety won’t lift or starts affecting your sleep and daily life, talk to a doctor or a mental health professional.
How do I explain a layoff to future employers?
State it in one or two plain sentences, avoid blaming anyone, and move to what you accomplished and what you want next. Interviewers care far more about how you talk about it than the layoff itself.
