“Help! I think I Might Be Laid Off”: How Women Themselves Can Prepare for Potential Corporate Layoffs

Sep 18, 2024

5 min read

You’re sitting at your desk, and you see it—a headline announcing layoffs at another big company. That same sinking feeling hits your gut. “What if it’s my company next?” You’re not alone. Many of us have asked, “I think I might be laid off. What do I do?”.

Many of us, me included, are feeling the same foreboding fear. In today’s corporate environment layoffs can feel like they might be just around the corner. It’s not comforting to know that women can be more negatively affected by layoffs than men and less likely to feel financially prepared for a layoff [1, 2] . Nothing makes me feel safer than being prepared for the worst. Preparing for the possibility of layoffs is empowering, not just for your career but also for your peace of mind.

In this guide, I’ll share with you how to prepare for potential layoffs financially, career-wise, and personally.

How to Build Your Financial Safety Plan for a Potential Layoff
1. Evaluate Your Expenses
2. Determine How Much You Have and Need in an Emergency Fund
Prepare Your Career for a Post-Layoff Reboot
1. Get Familiar with Today's Job Market
2. Update Your Resume and LinkedIn Using What You Learned About Today’s Job Market
How to Practically and Mentally Prepare Yourself for a Layoff
1. Make Those Appointments You’ve Been Pushing Off
2. Get Your Mindset Right

1. How to Build Your Financial Safety Plan for a Potential Layoff

The best time to financially prepare for unexpected emergencies like layoffs was yesterday. The second best time is today.

Evaluate Your Expenses

Do a deep dive into your last three months expenses to see how much you’ve been spending in different categories. Once you have a clear picture of your actual spending, identify which monthly costs are essential, non-essential, and discretionary. Cut out discretionary spending now and divert it to savings. If you get laid off, then cut non-essential spending.

Determine How Much You Have and Need in an Emergency Fund

The rule of thumb heard round the internet is to have three to six months of living expenses saved in an emergency fund. While that’s fine for a rule of thumb, take the time to really assess your situation to determine if you should have a higher emergency fund. Situations that require higher emergency funds are single-income households, households with children or other dependents, and households with jobs in volatile markets, like marketing, hospitality, or construction. If you think it would take you a long time to find a new job, if your household would be screwed if you were to be out of a job for an extended period, or if you are just risk averse, you should aim to have a larger emergency fund if at all possible. I personally have twelve months’ expenses saved in an emergency fund because I am risk averse and my industry is struggling at the moment.

If you are seriously concerned about layoffs and you are way behind your emergency fund goal, consider temporarily diverting any 401k contributions you make to an emergency fund. Temporarily being the key word.

2. Prepare Your Career for a Post-Layoff Reboot

Now that you've got your finances in check, it's time to think about how you can prepare your career. Knowing the job market and sharpening your skills are key steps to making sure you're ready if layoffs come knocking.

Get Familiar with Today’s Job Market

Before a potential layoff is a good time to peruse job postings to determine what types of companies are hiring, what jobs they are hiring for, and the specific job requirements that these job postings list. If the worst happens, you will feel confident in where to start your job search and how you can be competitive on the job market.

Update Your Resume and LinkedIn Using What You Learned About Today’s Job Market

Now that you know who is hiring and what they are looking for, update your resume and LinkedIn to match the desires of your industry. For example, many of the jobs in my industry list experience with A/B testing as a qualification. I didn’t have this experience listed on my resume before, so I added a bullet point under my current job’s experience illustrating how I have successfully used this skill in my career.

Take Advantage of Any Company-Offered Education or Development Benefits

If your current company offers training or tuition assistance, use those benefits to upskill yourself now. Your research into the job market will serve you well here. Are there any trends in job posting qualifications that you have the opportunity to boost yourself in? Pursue classes, certifications, or degrees while you have the company benefit so that you can prepare your skillset for the job market.

3. How to Practically and Mentally Prepare Yourself for a Layoff

With your finances and career prepared for a layoff, let’s turn the focus onto yourself as a person.

Make Those Appointments You’ve Been Pushing Off

Time to schedule any of those doctor, dentist, or eye appointments you’ve been procrastinating on while you have company insurance. That tooth that’s been bothering you? Go get it fixed. Your glasses with the slightly off prescription? Go get a new pair.

Get Your Mindset Right

Fearing layoffs is terrifying, I know. But succumbing to fear doesn’t serve us. Forty percent of people will experience at least one layoff in their career [3]. Layoffs are unfortunately a life event that can and does affect anyone; it’s not personal. Sometimes a layoff leads to a pivot in your career. This can be a great time to explore roles that offer better work-life balance, higher pay, or are more in alignment with your values. For an infusion of positivity, take a look at this Reddit thread of women who discuss their layoff successes.

You’ve Got This

Thinking, “I think I’m going to be laid off” is frightening, but it doesn't have to paralyze you. By preparing your finances, your career, and your life, you can face the possibility of a layoff with confidence. In fact, this uncertainty may be the perfect opportunity to set yourself up for long-term career success. Whether you stay with your current job or end up on a new path, by preparing now you’ll be stronger, smarter, and more empowered than before.