Laid Off: On Vacation in Mexico
"I cannot talk enough about the importance of having an emergency fund."
In May of last year, Andrea Pons was on her last day on vacation in Mexico when she received two emails from work at 5am PST. Three hours later, she was locked out of her work laptop.
The 30-year-old had been laid off from her Senior Production Manager role at a major commerce platform along with about 5,000 others worldwide. She took the exit interview over Zoom from her hotel room.
Andrea then went to the beach with her cousin and tried to enjoy her last day of vacation. On a packed bus back from the beach to her cousin’s place outside of Cancun, she cried.
“I felt like a boyfriend had suddenly broken up with me with the false hope we would get back together soon.”
She was close with her colleagues and loved her job. Their group chat is a thunderbolt emoji, a tattoo they all got together on a work trip.
Do you have a tip on a recent or looming layoff? Hit reply.
What reasoning did they give for laying you off?
No real reasoning other than "business needs." It felt unfair as it happened right before reviews and promotions. They said it "wasn't personal" but that didn't make it better to be honest. It made me feel like another rod in the machine rather than feeling like they took the time to figure out strategically who should stay vs. who needed to go.
How did they handle layoffs?
I received two emails at 5am PST, and by 8am PST I was completely blocked out and couldn't even access my work laptop. It was like being exiled. They offered an exit interview which I took over zoom from my hotel in Mexico (I was let go during a vacation).
Did they offer severance?
Yes, severance was pretty reasonable. 6 months pay as well as career support and the ability to purchase my laptop if I wanted.
Was this the first time you were laid off?
Yes.
Did you see it coming?
Absolutely not, other than hearing a rumor that same Tuesday that there were going to be layoffs. But I didn't want to believe it.
What did you do about health insurance?
I immediately applied to my own coverage.
What was your greatest financial concern with the sudden loss of income?
I had been working hard to save up my emergency fund that year before I got laid off, so thankfully I felt like I had a net to support me while I found my next journey.
Can you talk a bit more about your emergency fund?
I cannot talk enough about the importance of having an emergency fund. This is something I full-heartedly believe everyone needs, but especially women. An emergency fund is a set of money that you have in a high-yield savings account. I use Ally, and love it! This money can be placed into a bucket, and you should aim to have 3-4 months of essential living costs saved up. So for example, if your rent, groceries, and bills add up to $3000/month, you want to have close to $9000-$10,000 saved up in this account.
Inside the Ally app, you're able to set a fund target goal, and based on that goal and the timeline in which you want to accomplish your goal, some simple math can help you determine how much to add monthly. It doesn't have to be a lot, even $100 a month is a good start into getting yourself to a place where you won't sweat something like an unforeseen expense.
Think of it as your own safety net in case shit hits the fan. And in terms of a layoff, this can be a nice "self-severance" if you will, in case your employer is lacking in this department.
Why do you think it's important for someone to have one, especially as layoffs become more regular across industries?
Think of it as your own safety net in case shit hits the fan. And in terms of a layoff, this can be a nice "self-severance" if you will, in case your employer is lacking in this department. That way, you're buying yourself some time and peace of mind during your transition into a new job.
I personally would recommend reading Financial Feminist by Tori Dunlap. Her tips on managing money is what helped me keep my emergency fund, pay off my credit card debt and fully fund my Roth IRA last year, all while experiencing a layoff and transitioning to the volatile world of freelance.
Who was the first person you told after getting laid off?
My partner. He worked for the same company and found out that I was let go. Then my cousin, who I was with on vacation. I just looked up and went "shit, I think I just lost my job."
Did you share the news publicly afterward?
I did. I posted on Instagram, and leveraged the layoff to announce it on LinkedIn and try to quickly network that way.
What was the first thing you did after receiving the news?
I went to the beach with my cousin and tried to enjoy my last day of vacation. But, on a packed bus back from the beach to where she lives outside of Cancun, I cried, and for months I felt like a boyfriend had suddenly broken up with me with the false hope we would get back together soon.
Do you have a group chat with your former coworkers?
I do! But, we don't use it as much anymore. The group name is just a thunderbolt emoji. I have the same icon as a matching tattoo with most of them from a work trip.
Say you're playing layoff detective. What signs would you be looking out for to predict whether layoffs are coming?
Online articles about how the business is doing. Possible rumors going around the office.
What advice would you give someone who has just been laid off?
Make sure you read your contract thoroughly before signing it, immediately apply to unemployment, know your rights as an employee in your state. Lastly take a deep breath. You are not your job, your value is not your work, you will land on your feet, take this as a redirection, see a therapist, and don't feel bad for grieving.
What's something nice a person can do when their friend or peer gets laid off?
Offer to spend time together and just listen. Your friend does not need advice on how to get a new job, they just need time to process and grief. When they are ready for help they will come to you. If you have worked with this friend before, give them a reference on LinkedIn and even post about your friend and their talents on LinkedIn and social media.
What do you wish people would stop saying or doing after someone gets laid off?
"You're better off" "You should work at x company" "You should take x course" pretty much anything that starts with "you should."
What's something cool you've worked on since the layoff? Share something you're proud of.
I freelanced as a video producer for a whole year after I got laid off. One of my most exciting projects was a commercial for AT&T amplifying Latino Voices called Emerging Voices.
Did your company offer any kind of career support after layoffs?
Yes, after the layoffs they offered for my name to be added to a Work List where I could be contacted by recruiters from other companies. I was also provided with an Alumni plan that waived the store monthly fee if I had a storefront (which I do to sell my cookbook), as well as Talent info sessions which went over my termination package, a 15-minute appointment with a career coach through CareerJoy, and assistance in transitioning to new employment through outplacement through CareerJoy as well.
Other more centralized support was offered through Washington State such as unemployment and WorkSource services to help me find a new employer.
After the layoff, it felt a lot like a breakup.
Did they actually follow through on career support?
After the layoff, it felt a lot like a breakup. I was not ready to jump to the next thing, and needed some time to recenter myself and reflect on what I wanted from my next venture before fully jumping into the job search pool, so I didn't opt in for any of the offers above and instead decided to go freelance for a while. However, I did update my LinkedIn to receive notifications of specific roles I was interested in.
If not -- or if they did but it wasn't super helpful -- what kind of job search support would be helpful or appreciated?
I believe the job search support was some of the best from what I heard other friends experience during their layoff. I really appreciated the multiple outlets to get my name out there again.
If I had to make any changes, it would be the timeline in which some of these options could be used. For example, coaching might have been more beneficial for me this January, almost 9 months after the layoff when I was finally at a place where I wanted to go back to full-time.
Has being laid off changed how you view your relationship to work?
Absolutely. Work does not define you, it is not your identity, only an extension of what you do.
Andrea now works as the Creative Project Manager for Gusto. She heard about the job from a fellow co-worker who was also laid off from her company. She continues to take on freelance producer and food styling roles on the side.
Do you have a tip on a recent or looming layoff? Hit reply.
SO sorry this happened to you! And appreciate you sharing your story. But I gotta say I'm amazed that you received 6 MONTHS severance and support from your company. Sadly the norm I've experienced is 2 weeks severance. I wish there was a govt required norm of at least 3 months. Glad you found another great job.
Really appreciating the honesty and openness in this newsletter. I've been laid off a couple of times and it sucks. And even now as a freelancer, so much of this stuff is out of our control.
For anyone out there struggling with what to do next, I put some of my thoughts on navigating a career transition here: https://luciafontaina.substack.com/p/what-to-do-when-you-hate-your-job
Good luck everyone ❤️