How to cope with getting laid off?

Asked by: Paolo Yost MD  |  Last update: June 7, 2026
Score: 4.8/5 (30 votes)

Dealing with a layoff involves prioritizing emotional health with self-care and support, then strategically planning your next steps by understanding finances, networking, updating your resume, and maintaining a positive mindset, remembering it's a common event and not a personal failure. Give yourself a short grace period (a day or two) to process shock and avoid big decisions or social media posts, then focus on your well-being (sleep, nutrition, exercise) and actionable steps like securing finances, connecting with your network, and polishing your job search materials.

How to mentally handle being laid off?

If journaling isn't your thing, try other exercises that allow you to zone out and reflect: recording voice notes, doodling, or even gardening. The goal is to spend some time thinking about what you're feeling, what stories you're telling yourself about your layoff, and how you want those stories to change.

How long does it take to recover from a layoff?

How to Start Healing. Shaw says, “I was surprised by how long it took me to recover [from my layoff], but I've seen some psychologists say that on average it can take up to two years or more. If you have trouble getting another job, then it could take even longer.

How to survive being laid off?

Steps to Take to Prepare for a Layoff

  1. Start an Emergency Fund. ...
  2. Budget, Budget, Budget. ...
  3. File Unemployment Benefits. ...
  4. Ask About Severance Packages. ...
  5. Use Credit Cards Only for Emergencies. ...
  6. Make Sure Emergency Funds Are in Order. ...
  7. Get Back on LinkedIn and Start Networking. ...
  8. Prioritize and Negotiate Any Debts if Needed.

Why is getting laid off so traumatic?

Layoffs can absolutely be traumatic. Losing your job can also mean losing your sense of purpose, your daily structure, your financial stability, and your professional identity. Sometimes, it even means losing a community you've built over years.

What To Do IMMEDIATELY If You're Laid Off

44 related questions found

What are the 5 stages of job loss?

Melnick invoked Dr. Elisabeth Kübler-Ross' “Five Stages of Grief”: denial, anger, bargaining, depression, and acceptance, as a way to understand why a job loss can be so devastating.

Who typically gets laid off first?

When layoffs occur, newer employees (Last In, First Out or LIFO) often go first, but companies also target those with redundant or obsolete skills, lower performance, or high salaries, and positions that are no longer strategically vital, especially in non-revenue-generating departments like overhead, marketing, or tech support. Decisions balance seniority, skills for future needs, and cost, meaning sometimes top earners or those lacking AI skills are cut, contrary to just seniority. 

What not to do after getting laid off?

There are things you should do when you're laid off. But there's also one thing you must not do: “Don't immediately sign anything the company asks you to,” says corporate veteran Colin McLetchie, president of Arlington, Va. -based professional coaching consultancy Five Ways Forward.

What are the 7 stages of job loss grief?

The core of our conversation centered around the emotional journey following job loss. This is a process strikingly similar to the seven stages of grief: denial, anger, bargaining, depression, acceptance, reconstruction, and renewal.

What is the 3 month rule in a job?

The "3-month rule" in a job generally refers to the initial probationary period where both employer and employee assess the fit, or the idea that an employee should stay at least three months before leaving for a more realistic evaluation of the role and company culture, often using a 30-60-90 day plan to set goals for learning and integration. It's a crucial time for an employee to learn processes, team dynamics, and tools, while the employer evaluates performance and potential for long-term success, notes Frontline Source Group, DEV Community, Talent Management Institute (TMI), and SEEK. 

What is the 42% rule for burnout?

The 42% rule for burnout suggests high performers should spend at least 42% of their time (about 10 hours daily) resting, recovering, or in restorative activities like sleep, gentle movement, hobbies, or social connection, to prevent chronic stress and exhaustion, balancing out demanding work with essential downtime for sustainable success. It's a reminder that true productivity comes from recovery, not just constant effort, challenging the busy-equals-successful mindset. 

What to do immediately after being laid off?

Immediately after being laid off, focus on logistics like reviewing your severance, filing for unemployment, and understanding health insurance (COBRA/marketplace), while also taking a mental health break to process emotions, creating a budget, updating your resume and LinkedIn, and beginning to network with your professional contacts to explore new opportunities. Prioritize these immediate steps to secure your finances and plan your next move strategically. 

What are common layoff mistakes to avoid?

Failure to follow legal requirements can result in legal action against the business and could potentially damage your business' reputation.

  • Not Having A Clear Plan. ...
  • Hiring Replacements To Fill “Eliminated” Positions. ...
  • Not Communicating Effectively. ...
  • No Support For Those Who Are Affected. ...
  • Not Considering Alternatives.

What is the rule of 70 for layoffs?

The "Rule of 70" in layoffs isn't a legal requirement but a common informal guideline for enhanced severance, where an employee's age plus years of service equals 70 or more (often with an age minimum like 55), triggering special, more generous benefits like extended healthcare or increased pay, especially when age discrimination concerns arise during large workforce reductions. While companies aren't forced to offer it, they often do to minimize age discrimination risks, particularly under laws like the ADEA for workers over 40. 

What is the hardest loss to grieve?

While grief is deeply personal, the hardest losses often involve a child, a life partner/spouse, or a death by suicide/homicide, due to profound identity shifts, shattered futures, overwhelming guilt, or sudden trauma, with losing multiple loved ones also creating layers of paralyzing grief. 

Is losing your job traumatic?

The loss of a job can be one of the most stressful events that a person may experience. In fact, the loss of a job is included within the top 10 list of stressful events. A job provides more than simply just a paycheck. A job also provides a sense of identity, self-confidence, respect, and stability.

What are the 3 C's of grief?

Healing starts with small steps—choosing what helps, connecting with others, and communicating your needs. Grief is unique for everyone. Avoid comparing your grief to others. Practice the “three Cs”: choose, connect, communicate.

How to emotionally handle a layoff?

Share your feelings with trusted family and friends

Admit to significant others and your support system your feelings of anger, fear, frustration and sadness. It will help you regulate your actions and stay motivated. Keeping a written journal of how you feel and what is happening can be a release for your feelings.

What not to say during a layoff?

When firing someone, avoid saying "sorry," comparing them to others, making vague statements like "going in a different direction," or dragging out the conversation with personal details, as these soften the blow but create confusion, legal risk, and a poor experience; instead, be direct, brief, and focus on business reasons, using "we" sparingly and keeping it professional.
 

Is getting laid off considered fired?

What is Being Laid Off vs. Getting Fired? The key difference between being laid off vs. getting fired is that a layoff is the fault of an employer while a firing occurs because of the employee's fault.

Do good employees get laid off?

High performers are not necessarily safe from layoffs. The misconception that job performance is a shield against layoffs can often be misleading for high performers. As mentioned earlier, the need for swift budget cuts may lead to layoffs where even the best employees have to be let go.

What is the 3 month rule for jobs?

The "3-month rule" in jobs usually refers to a probationary period, a standard trial phase (often 90 days) where employers assess a new hire's performance, skills, and cultural fit before granting permanent status, with easier termination for both parties during this time. It also signifies a common benchmark for new employees to feel truly productive and settled, understanding new tools, teams, and company dynamics. It allows companies to evaluate fit and employees to learn the ropes, often impacting benefits eligibility and job security until completed.
 

How to act when you get laid off?

How to handle getting laid off

  1. Take time to process the layoff. ...
  2. Ask about your health insurance coverage. ...
  3. Meet with your employer about severance pay. ...
  4. File for unemployment. ...
  5. Save your important work. ...
  6. Collect references. ...
  7. Begin your job search. ...
  8. Update your resume.