A Guide to Surviving a Round of Lay Offs

 

Erin O'Connor Jones, Director of Candidate Services and Managing Associate

Nonprofit Professionals Advisory Group LLC

 

The headlines are screaming about high unemployment rates, pink slip parties and record numbers of lay-offs and downsizing. If you’ve been laid off or are facing the possibility of unemployment, you may be wondering “What’s next?” After the disbelief, denial and feeling of panic, you will need to get some rest and prepare to land your next job. You need to act quickly and be strategic in the way you approach and think about your job search. Doing so will empower you through a lay off or simply help you prepare for the possibility of one in the near future. Follow these strategies and you’ll increase your chances to emerge stronger, better -prepared and ready for the dream job which awaits you.

1. Ask about severance benefits. Your main goal is to continue receiving your income for as long as possible and your first question after “Really, me?” should be about severance benefits. When will you be paid? For how long will you be paid? Inquire about your vacation time, sick time and collect any money that is owed you. This is also the best time to request outplacement services. Most importantly, don’t burn any bridges. You may feel angry and scared, but you must preserve these relationships for future references.
2. Apply for unemployment assistance. Thankfully, the days of waiting in person in long lines at the most state unemployment offices are history. Visit your state’s website to find unemployment information and apply as soon as you can. Most states offer electronic applications that you can fill out online and, if not, they may accept a telephone application. The good news is that the first $2400 in 2009 will be tax-free, but then your remaining unemployment benefits are taxable. Many states also provide access to career counseling, job leads and resume advice. Take advantage of any and all job-seeking services including resume review and access to job listings.
3. Stay insured. You may have the right under federal law to continue your health insurance. Ask when your COBRA begins and ends, how much it will cost and where to mail payment. Compare the cost and coverage of your spouse’s or partner’s health plan, and if cost effective, sign up immediately. If you don’t have access to other coverage or can’t afford costly COBRA (unfortunately it can be quite expensive), explore low cost options offered through state programs.
4. Look at your budget. This is a difficult part of the process, but you need to make sure you have enough money to pay your bills. If you don’t, you may need to consider short-term or project-based work while you look for a full-time job. You should plan to cut out discretionary spending such as vacation travel or dining out. If finances are stretched, go into ’savings’ mode and only spend money on what is absolutely necessary. You should also explore with a trusted advisor whether to roll over your existing 401(k) or 403(b) into an IRA. Do your very best, however, not to touch these retirement funds; not only will you most likely pay a penalty, but you will pay taxes as well.
5. Track your job search spending. Believe it or not, job seeking just became a bit more affordable. You should track all your related expenses from mileage, coaching, resume writing, services and even relocation. All these job related expenses are deductible, and will make a difference when you file your 2009 tax return.
6. Update your resume. This is the most obvious advice, but is often the most overlooked strategy. Your resume should be updated and ready to send. A strategic and smart resume will rebuild your confidence and provide talking points for networking. If you are uncertain where to being, particularly if you haven’t had to write a resume in 25 years or have forgotten, ask a colleague, family member or friend for help. Take advantage of the free services offered through your state unemployment office or consult with a reputable outplacement service.
7. Network, network, network. It is still true that the best jobs are found by networking and getting smart about your networking strategy is a great way to channel the frustration of losing a job into the exciting work of finding a better one. If possible, make your job search your full-time job by scheduling time on your calendar. Let everyone know about your job search. Prepare your elevator pitch, practice it with anyone who will listen, and end it by exchanging business cards. You should have cards printed with your name, contact information and a title such as ’consultant.’ You don’t have to spend a lot of money or create another unnecessary expense for your business cards. Explore online offers, print them yourself or trade services with a designer or printer. Take time to reconnect with colleagues (present and past), reacquaint with friends and catch-up with former classmates. Delve into your alma mater’s website and alumni networks, create or update your LinkedIn profile, join affinity groups online, and explore other creative venues to find new opportunities.
8. Don’t go it alone. This is not the time to stand alone. Job seeking can be exhausting, isolating and frustrating. Ask a trusted friend or colleague to be your ‘job buddy.’ This person will be your go-to person and should be capable of providing constructive, honest and valuable feedback. Schedule regular time with this person and use his or her help to stay focused. Set benchmarks for each other, and then work together to keep each other disciplined and inspired.
9. Be patient and creative. An average job search can take up to one year, but you might also land your dream job in one week. Once you’ve moved past the initial array of emotions that come with being laid off, try your best to use this time to create opportunities and to get excited about the creative challenge ahead of you. Explore jobs in a new field or sector, volunteer, consult, or consider a part-time job related to your hobby or interests. Opportunities exist in the most unlikely places. Use this opportunity to create and build your new career. Lastly, don’t be discouraged. Continue to enjoy your life by surrounding yourself with positive people, sleeping and eating well, getting regular exercise, and making sure to include a little fun in every day. A smiling, well-rested candidate always makes a better first impression.

 

The Best Online Resources for Job Seekers



It’s tempting to spend all your time during your job search looking for resources and just as easy to become overwhelmed. Bookmark these sites and gain access to valuable knowledge, support and resources that will make your online time more manageable and easier to navigate. Good luck with your job search!

Job Seeker Resources:

www.Idealist.com
www.ExecSearches.com
www.FoundationCenter.org
www.NonprofitProfessionals.org
www.Philanthropy.com
www.NewEnglandJobs.org
www.EncoreCareers.org
www.Indeed.com
www.TweetMyJobs.com

Unemployment Insurance, Income Tax and Personal Budgeting:

www.IRS.gov
http://www.careerexplorer.net/unemployment/index.asp
http://www.personal-budget-planning-saving-money.com/worksheets.html

Social Networking and Morale Support:

www.LinkedIn.com
www.Meetup.com
www.Facebook.com
www.MySpace.com
www.RecessionWire.com
www.YourOnRamp.com
www.DivineCaroline.com