What to Do Before and After You Leave
It has been a brutal few weeks in the media as BuzzFeed, the Huffington Post, Vice, Gannett and McClatchy have laid off thousands of employees. But it’s not just journalists that have been suffering lately: GM is laying off thousands of workers over the next two weeks, the Sears bankruptcy threatened tens of thousands of jobs, and the government shutdown left hundreds of thousands of people without pay for weeks.
All of these job losses, of course, highlight the importance of having a contingency fund (or layoff fund ), but there are also many other steps and precautions you can take before and after a layoff to help alleviate financial (and psychological) problems. pain.
Get ready as best you can
You won’t always know when layoffs are coming, but in some cases it may be more obvious than in others: your company isn’t performing well, you’ve already had a round of layoffs, or you’ve been given a warning. up.
Yes, if possible, you want to increase your savings, but there are other things to do. Tiffany Jannetta, who was fired from Racked (now called The Goods) about a year ago, told Charlotte Coles for Cut that she had put together a checklist of important financial tasks to complete before she is out of work.
She went to all of her doctor’s appointments (in case she lost her health insurance) and carefully scrutinized her debit card statements to estimate her expenses. “Obviously, I didn’t have enough time to save anything significant, but at least I had a plan where I could cut costs,” she says. She also reviewed industry severance pay standards so that when day came she knew exactly what she was going to ask for.
The last point is important. If you do not have a union to negotiate a severance agreement for you , know that you can negotiate your severance pay. For example, according to Balance , you can negotiate:
- Additional weeks of pay, sometimes depending on your stay with the employer
- Payment for unused vacation and sick leaves
- Lump sum payment due to lack of notice of termination of employment
- Medical or dental benefits or life insurance
- Retirement or 401 thousand benefits
- Stock options
- Help in finding a new job in the company or outside of it
“If you are over forty or belong to a different protected class (race, gender, LGBT, disability, etc.), you can tell your employer that you are willing to waive some specific requirements that you might be able to make. … but for that you need more than a month’s salary, ” suggests Victoria Pynchon, negotiation consultant.
Also, make sure that all documents for any retirement and health insurance accounts are linked to your personal email so that you can easily access them.
Back up important information
If your company owns your computer / mobile phone, make sure you back up any important information you need at all times, such as reports you’ve worked on, contact emails, etc.
Too often, your access can be turned off before you’re ready to leave and want to keep backups of your work. It is also a reminder not to use your work computer / email for personal communication (for example, when planning a trip) that you do not want to lose access to.
You don’t need to sign anything right away
If your company allows you to sign a divorce agreement, ask a lawyer or other representative to review it before you sign (in fact, the agreement will contain language that encourages you to do so). Your employer should not force you to sign anything until you are given time to study it. If you cannot afford a lawyer, consider who else can provide advice. “One woman who spoke to me anonymously (she signed a nondisclosure agreement as part of her severance package) was fired from a startup and sent severance pay to her best friend who worked in the HR department at another company,” writes Coles. …
It’s important to take your time not only to make sure you get decent severance pay, but also because you are more likely to give up any rights you have in the workplace .
Unemployment claim
While unemployment laws differ from state to state, you can usually only apply if you lost your job through no fault of your own. Downsizing suggests asking your employer for a letter that says you got fired for no reason, which can help you get benefits. Then go to this site to learn how to apply in your state.
“You should also be actively looking for work, making a reasonable effort to find a job,” reports CNBC . “Just be sure to keep a log of every place you submit your resume and every interview. You will need it if you are called in for a compliance review. “
Also, consider asking your boss for a letter of recommendation to help you find a job.
Take time for yourself
Yes, many of us do not have the financial security to take significant vacations without pay. But when you’re going through something like getting fired, make sure to take time for yourself to regroup and work through your feelings. Our sense of self and self-esteem is tied to our work, especially in America – letting go can harm our identity and the way we perceive ourselves.
If you can, don’t rush right away in search of the next one without thinking about your old role. And, as Coles suggests, remember that your old colleagues are not enemies – talking together about your situation can be a helpful way to process your feelings.