Key Takeaways
There are many different circumstances that could lead to losing your job like getting laid off, quitting without a safety net, and getting fired suddenly. All of those scenarios lead to the same feelings of fear, uncertainty, stress and anxiety. Allow yourself to grieve, be patient, and remember that your mental well-being is your top priority. Moving forward with a clear mindset will help you make the best decisions for yourself.
You may be wondering, “What happens if I lose my job?” After losing a job, there are immediate steps you should take like applying for unemployment benefits, evaluating and adjusting your finances, securing your health coverage, and keeping documentation of everything.
Make a plan. Once you’ve cared for your mental well-being and taken the immediate and urgent steps after losing a job, start to search for jobs, tap in your network, and secure your safety net.
Reach out. Empower Work exists for moments like these. Moments where it feels like you’ve been thrown into the deep end without a life vest. We’re here to throw you a safety ring and reel you back in. Through the text line, you’ll get an honest assessment of their situation, navigational support, and an action plan that moves toward positive outcomes.
Losing a job is universally one of the most destabilizing and terrifying experiences. Whether you choose to quit, are laid off after months of fears of job loss, or are fired suddenly and feel like you’ve had the rug pulled from beneath you, job loss is a difficult thing to navigate.
It can have a significant impact on your mental well-being, finances, and livelihood. It can leave you feeling disoriented and unsure of what to do next.
If you just lost your job, we’re here to support you. Text 510-674-1414 and let us know what’s going on.
You don’t have to go through this alone. In this article, you’ll learn how to navigate the fears and anxieties that come with job loss, immediate actions you can take after losing a job, and what steps to take moving forward.
Dealing with the fear and anxiety of job loss
There are many different circumstances that could cause job loss, all leading to the same feelings of fear, uncertainty, stress and anxiety. Depending on your circumstance, the ways you cope with this life-altering moment can differ.
It might feel sudden, like there’s no time to think or prepare and everything feels like it’s crumbling down around you. Or, it may feel like a slow process that allows too much time for the fear of job loss to creep in, day by day. In some cases, people make a tough decision to quit or are forced to, but they don’t know if they’re making the right decision.
In any of these cases, dealing with these emotions can be challenging. Before taking the immediate steps and creating a plan for what’s next, it’s important to care for yourself because your well-being should be your top priority and moving forward with a clear mindset will help you make the best decisions for yourself.
Coping with different job loss circumstances
If the job loss was sudden
At Empower Work, we regularly hear from people who say things like:
“I just got fired. I don’t know what to do. I’m scared and embarrassed and feel like I’ve totally failed.”
If you just got fired or laid off and are feeling terrified, just know that you’re not out of options. First, take a deep breath. Being fired doesn’t define your value, your potential, or your future. It’s something that happens to many people—for reasons that aren’t always fair or in your control. The fear you’re feeling is real. But so is your resilience. You can get through this, one step at a time.
In this case, losing your job was out of the blue and you had no time to plan, cope, or reach for a safety net. You may feel like you were thrown into the deep end without a life vest. Everything is running through your mind; financials, how to care for dependents, what is the next job. And this may feel like a neverending spiral. Just know, this is completely valid.
Before jumping into action (we’ll get to that later), take that deep breath and know that everything you’re feeling is reasonable. These are small steps you can take to care for your nervous system:
Go for a walk
Talk to someone
Journal about what you’re feeling,
Limit doom-scrolling and comparing yourself to others online.
Small steps to care for yourself will help you think more clearly and take better action over time. Take it day by day.
If it was your decision to leave
Choosing to leave a job without another one lined up can bring up similar feelings of fear, anxiety, and even guilt. Just because this job loss was your decision, doesn’t make it any easier. Maybe you left because your boss wasn’t treating you with respect, or your safety was at risk, or you just didn’t like your job and it was time to leave. Leaving a job is scary. Especially when you don’t have something else lined up.
We often see the emotion of guilt when people report choosing to leave a job. If this is you, you may find yourself wondering, Did I leave my manager or team in a tough spot? Did my work relationships suffer? Do my close coworkers think I have abandoned them? Did I give up? Is it okay to be afraid of unemployment even if it was my choice?
These fears and thoughts are natural. It is more than okay to be afraid of what’s next, even if it was your choice to leave.
Now that you have left, you’re in the same predicament that you would have been in whether it was your decision or not. So, as mentioned above, take that first deep breath and know that this moment does not define you or what’s next for you.
If you saw it coming or currently see it coming
If you saw the job loss coming for a long time or are still employed and fear that your termination is coming soon, this can be a painful experience. Maybe you’ve survived a round of layoffs, but are feeling on edge about being in the next round. Or maybe you feel like you’re not meeting your boss’s impossible expectations and have gotten a warning. Whatever the case may be, waiting for an imminent job loss is a difficult process. Rather than having an immediate reaction of fear and anxiety, these emotions of always being on edge are stretched out over the course of weeks, months, or maybe even years.
The good news is that maybe you had time to process these emotions, prepare for the fallout, and plan for what’s next.
If you’re still employed and have fears of being fired, ask yourself: what’s causing the fear? If you can get to the root of that fear, it might be easier to plan ahead. Have you received specific feedback that worries you? Has your boss’ behavior toward you changed?
If you saw the termination coming for a long time, acknowledge that the fears and stress that you felt were valid. You can now release the feelings of uncertainty and anxiety due to the slow and impending process of being terminated and turn it into action.
Allow yourself to grieve
No matter the circumstances of your job loss, allow yourself to grieve the sudden change in your life, and to give yourself the space to breathe. The stress of losing employment is immense; financially and emotionally. Having a job doesn’t only pay the bills, but it gives a sense of purpose, routine, and stability. Losing that can make you feel completely overwhelmed.
Grief is a natural response to job loss. Your sense of purpose and income are the more obvious losses. But some also feel the loss of friendships through their job, self-esteem, security for their families, and a general sense of control over their lives. Allowing yourself to grieve in turn allows yourself to build those things back up.
Find new ways to feel purpose
Your employment status does not define you, even if it feels that way sometimes. Even if you’re employed, your work does not define you. During this tough time, remind yourself that you are more than this moment. You are not just a worker. We are all human beings first. Remind yourself of the things you love outside of work and try to find new ways to feel purpose. This will help you put your life into perspective and help you clear your mind for what’s next.
Go outside and get some movement. Going outside and exercising is a great way to clear your mind, keep your health in check, and to relieve stress. Even if it’s one short walk a day. It can also give you time to brainstorm ideas for what you want your career to look like.
Try a new hobby. Getting into something new is not only a good stress reliever, but it could help you feel purpose in creating a new challenge for yourself. Continuing to build skills, even if it has nothing to do with your work, is extremely beneficial for growth and emotional well-being. Whether it’s learning to sew, a new sport, or reading, try to give it your all and make it part of your routine.
Volunteer! Sometimes, it helps to give back to others while also learning new skills. Whether they’re applicable to your line of work or not, it is still an experience worth noting. Volunteering can provide you with new skills, social support, and networking opportunities. If you’re looking for a volunteer opportunity, you can sign up to volunteer as a peer counselor at Empower Work! You have the opportunity to help people who are going through a similar situation.
As one of our volunteers, Abby, shared, “At the time [I started volunteering] I had been laid off from a tech company, and I was looking to give back after going through a few rounds of layoffs. I was like, ‘How can I spend time in a way that I am passionate about?’”
You lost your job. What now?
Once you’ve processed your anxieties around the job loss and taken care of your well-being, it’s time to take action. In any job loss, there are immediate steps you can take to make sure you land on your feet again.
File for unemployment benefits
If you’ve gone through a job loss, don’t leave your unemployment benefits on the table. Eligibility requirements for who can collect unemployment vary from state to state, but you usually qualify based on these factors:
Are unemployed through no fault of your own. In most states, this means you have to have separated from your last job due to a lack of available work.
Meet work and wage requirements. You must meet your state’s requirements for wages earned or time worked during an established period of time referred to as a "base period." (In most states, this is usually the first four out of the last five completed calendar quarters before the time that your claim is filed.)
Meet any additional state requirements. Find details of your own state’s program.
If you meet your state’s requirements, apply immediately; the first day you are out of work if you can. If you wait, your payments won’t be retroactive. Depending on your state, there may be a waiting period between the time you file your claim and the first week for which you’ll be paid.
It’s also important to keep records of your job search because many states require that you make a consistent effort to find a new employer. You need to certify (weekly or biweekly) that you are still unemployed, and list the places you’ve applied.
Evaluate your finances
Losing a job can feel overwhelming both emotionally and financially. Review your monthly expenses, household income, and savings to make a plan. As stated above, you may be able to get unemployment insurance payments from the state, as long as you’ve worked a certain number of weeks during the previous few quarters and were not fired for misconduct.
Talk to your HR department about severance pay and compensation for unused vacation or sick time. It depends on your employer’s policy as to whether or not severance pay is available, but if it’s offered to you, you may have the option to either receive it as a lump sum or as a continuation of salary for a fixed period of time. If you’re unsure what you should receive after separation, ask us at 510-674-1414, and we can help you figure it out.
It’s hard to know how long you’ll be out of work. The average length of a job search right now is six months or longer. If you haven’t lost your job yet, but are having fears of termination, start planning immediately. If you’ve already lost your job, it might be time to reduce your expenses periodically, look for work to increase your income, and keep an eye on your credit to avoid unexpected issues with your credit reports or scores.
Secure your health coverage
If you’ve lost your job, had your hours reduced, or experienced other qualifying events, you may be able to keep your job-based health coverage with the Consolidated Omnibus Budget Reconciliation Act (COBRA), a federal law that allows workers and their families to temporarily keep their health coverage in certain situations.
There are other options like enrolling in Affordable Care Act health insurance, checking if you qualify for MEDICAID and CHIP, or enrolling in your spouse’s health insurance since job loss is considered a “life-event.”
If you go without health insurance, there are other ways to get support for your medical bills, like financial assistance programs.
Keep documentation of everything
Before you officially cut ties with your employer, make sure you keep a record of everything—important documents, proof of skills, contact information from your team, severance agreements, termination letters, and performance evaluations. Keeping record and documentation of everything possible will only help make the road ahead easier for things like finding a new job, networking, filing for unemployment benefits, and possibly even any legal issues if applicable.
Make A Plan
Now that you’re more clear-headed and have completed the immediate and urgent steps right after losing your job, it’s time to move forward with a steady plan to get you back on your feet. Remember, all is not lost. Job loss is tough, but you are resilient and you have the skills and experience to find something new.
Explore your options for what’s next
Do you need to find work as soon as possible and are your finances strapped? Or do you have room to take time off and really think about what’s next? For some people, taking time off can help take off stress, allowing time for other priorities like taking care of their dependents or their own health. Some even call it “funemployment”, a period of time where you can explore passion projects or enjoy leisure time that you wouldn’t have been able to enjoy while being employed. For others, taking time off creates even more stress or it isn’t something that is financially possible.
Whichever route you decide to take, don’t forget to weigh the pros and cons and to prepare. If you decide to take time off, you might get to relax and get a break, but it could become a financial burden depending on your own situation. If you decide to jump back into finding a job, you could increase your income, but your mental health could be at risk if you just came out of a stressful situation at your last place of employment.
Start searching for jobs
After allowing yourself to grieve the job loss, it’s important to start looking for your next place of employment in order to increase your income, feel purpose again, and move forward with a new routine. There are different phases of the job search process to prepare for—the preparation of tailored materials and mindset before the job search, the job search in action, and the follow-up after applying for jobs.
Here are some tips to succeed in the job search:
Before jumping in and applying to a lot of jobs at once, prepare your materials, your mindset, and a strategic plan to prevent from feeling lost or unorganized in the process.
There are so many accessible and free job searching tools and job search platforms out there that many people forget about. Use them to your advantage. These include resources like Empower Work, public libraries, and job boards.
Follow up with the hiring team and your network. After you send in your applications, you don’t want to leave the hiring team or your network cold. You really want to do the proper research, reach out to decision makers, and make yourself stand out from the crowd—especially for positions that you really want.
For more tips, we have a step-by-step guide that goes into depth of how to navigate each step to finding the job that is right for you.
Secure your safety net
If you took the immediate steps discussed above like applying for unemployment benefits, evaluating and adjusting your finances, and securing your health coverage, you’ve already done the first step to securing a safety net. Taking those urgent steps after job loss will set you up for a smoother transition for what’s next. Sometimes, it’s impossible to know how long the job searching process will take. It’s time to adjust your budget, reach out for support when you need it, and to create a career path for yourself going forward.
If you’re still employed, but are having fears of job loss, it’s never too early to start securing a survival budget and looking for jobs.
Tap in your network
Remember the contacts you documented immediately after the job loss? It’s time to reach out to them now. Whether they’re coworkers, an employer you left on good terms with, or friends, it could be beneficial to stay in touch. Staying in touch with at least one or two people could help you with referrals for new jobs, job leads, event invites, and other networking opportunities. You never know, someone at your old company might hear about a job and think of you as the perfect fit. A lot of jobs are sometimes found through a friend of a friend.
Networking isn’t about asking for favors. It’s about creating long term professional relationships, and helping each other out. It’s also good to reach out and talk to trusted individuals like friends and old coworkers when you’re going through a life altering situation like losing a job. Networking can help you land the next job, but it can also help to create routine, social support, and a sense of stability.
Reach Out
Even though losing a job is a common experience, it can still feel deeply isolating and lonely. It’s easy to feel like you’re the only one going through it. But you’re not alone.
Empower Work exists for moments like these. Moments where it feels like you’ve been thrown into the deep end without a life vest. We’re here to throw you a safety ring and reel you back in. Empower Work peer counselors will listen and talk through what’s going on, go through your options, and help you get to your next steps. They can help you apply the steps above to your specific issue and offer new perspectives.
What to expect:
Assessment of your situation: After texting us, you’ll reach a peer counselor and tell them what’s going on. They’ll listen, assess your situation, and ask questions that you may have not thought about before texting the line.
Navigational support: You will receive hands-on, personalized guidance to help you navigate your specific situation at work. By asking deep and powerful questions, peer counselors will offer new and unique perspectives to help you get to your next steps.
An action plan: Walk away from a conversation with next steps. Whether it’s creating a plan for the job search, ways to process the immediate emotions after being suddenly laid off, or brainstorming what’s next, a peer counselor will help you come up with that action plan.
Reaching out for support may seem like such an easy and unimportant step to some, but the impact on your life moving forward is tremendous.
Talking to someone who gets it, truly works.
Over 90% of the people who reach out to us report feeling better after a conversation with a peer counselor. That could be you too.
Text 510-674-1414 to reach a trained peer counselor if you’re experiencing a job loss. It’s free, confidential, and immediate.