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The Emotional Toll Of Layoffs: What Can Employees And Employers Do To Make It Better?

Sudden loss of employment is a very distressing situation for anyone, even more so for advanced career professionals since their jobs and careers are often intertwined.
Sumedha Tripathi Updated on Feb 21, 2023, 13:02 IST

Suddenly being laid off from a job can not only be a shocking experience, but it can cause a lot of distress as well. Even though recessions and market downturns are a part of the economy, no matter how much one learns about them, no one can ever be prepared to lose a job as a result of them.

It is a painful process to witness colleagues, entire teams, and, unfortunately, yourself being fired unexpectedly, and it can be traumatic, to say the least. While a job can provide financial security, it is not the only option for some. For a lot of people, a job defines their self-worth and identity. So, losing a job can hamper much more than just stability.

What feelings arise after losing a job?

As per the American Psychological Association (APA), an analysis of more than 300 studies found that "unemployed people were more distressed, less satisfied with their lives, marriages, and families, and more likely to report psychological problems than the employed."

Dr. Rishi Gautam, Assistant Professor of Psychiatry at the GW School of Medicine & Health Sciences in Washington, DC, USA, says, "You may start questioning your self-worth; it is damaging to your confidence, it can lead to feelings of inadequacy, and so forth."

This can lead to cognitive bias.

Dr. Gautam also mentions how laid-off employees can experience cognitive biases. Cognitive biases are systematic errors in thinking that affect the decisions and judgements people make. Basically, these biases can lead to inaccurate decision-making and hinder an individual's ability to effectively navigate and solve problems in various situations.

"You may find yourself caught in thoughts such as I wish I had completed that project on time," or "I must have done something wrong that I got fired," or "This is it. I am never going to find a position like this again, etc. It is important to be aware that this is not an accurate characterization of yourself and your reality," says Dr. Gautam.

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What are the emotional costs of being laid off?

There are various ways in which being laid off can affect a person emotionally, and it can also take a toll on them:

Extended periods of depressed mood

There can be an extended period of loss and mourning for the job and coworkers. People who have witnessed or been fired may feel as if their world has collapsed and may not feel the need to get up and do more or find a new job.

Sleep disturbances

Depression and overthinking can cause bad sleeping cycles. Either one can sleep for a long period of time or one can have disturbances in their sleep cycle. They can keep waking up or have trouble sleeping every day. A bad sleeping cycle can make one tired and lethargic.?

Sense of poor self-esteem

One would have a negative view of oneself and one's abilities. People with low self-esteem tend to have negative thoughts and beliefs about themselves and often struggle to recognise their own strengths and achievements. People with low self-worth can also compare themselves with others and think poorly of themselves.

Changes in appetite

Due to mourning and loss, people can experience a change in appetite. Either one can completely neglect food and not feel hungry at all, or one can start binge eating and not control eating all the time.

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Heightened anxiety about the future

Losing a job definitely causes fear in the minds of people. Concerns about the future and how they will support themselves and their families loom over them.This causes anxiety and panic among people who become unemployed.

Reduced tolerance for frustration

Losing a job and probably not finding a new one suitable for your standards can definitely cause a lot of frustration. However, it becomes more intense as the cycle continues.

Unhealthy lifestyle changes

This can lead to unhealthy lifestyle changes such as excessive drug and alcohol consumption. It can also lead to a person not exercising or just binge eating and being lethargic.

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How can employees take care of themselves during this time?

As per Dr. Gautam, "self-care is paramount in times like these." The following are some things you can do to maintain your physical and emotional health:

Identify your feelings and verbalise or journal them

It is absolutely alright to be angry, disappointed, and hurt and still be able to talk about it. If talking as an outlet is not something you are comfortable with, then you can journal.

Maintain a daily routine, even if you do not have to report to work?

Maintain good sleep hygiene by getting up on time, going to bed on time, not drinking alcohol at night, grooming yourself regularly, dressing up, and so on.??

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Institute some form of physical exercise

This can be something as simple as a daily walk in a park for 30 minutes. Eating healthy food and thinking about a nutritious diet.?

Avoid toxic social media exposure

Social media can only show the positive aspects of a person's life. However, this can also make others who are constantly going through social media feel anxious. This can be very toxic for the person going through a difficult time.

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How can employers take care of these employees?

While this can be a difficult process for employees, employers can also help them in some way.

Offering outplacement services

While the process of laying off employees can be difficult, employers can help by providing outplacement services. These services typically include career counselling, resume writing, interview preparation, job search assistance, and other support to help the affected employees find new employment.

Employee assistance programs

These programmes typically offer a range of services, including counselling, legal and financial advice, stress management, and other forms of support to help employees resolve problems and improve their well-being.

Clear communication throughout the process

Talking directly and letting the employees being laid off know what is happening clearly is something that employers can do with ease. Even after being laid off, employees may feel disheartened, but they should not feel that it is entirely their fault.

Severance pay

Employers should consider offering severance pay and other forms of financial assistance to affected employees to help them through the transition, as many may be under the pressure of supporting an entire family.?

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Being laid off isn't the end of the world, and while this may be a tough transition, there will always be a light at the end of the tunnel.? ?

Sumedha Tripathi

Building, coordinating and crafting engaging content for lifestyle brand 'Evolve' at Indiatimes. Successfully revamping the lifestyle section including topics such as mental health, relationships, self, skin care, music etc. I collaborate with experts from various fields to gather insights and create well-structured pieces.

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