Key Takeaways
- Shift from being a downsizing victim to taking control of your career by preparing effectively.
- Stay updated on company information to avoid surprises regarding potential layoffs.
- Update your LinkedIn profile to attract recruiters and ensure it remains professional and easy to read.
- Expand your network by reaching out to past colleagues and attending professional events.
- Explore side-hustles to create additional income sources and maintain financial stability if downsized.
Estimated reading time: 3 minutes
Whether the economy or AI improvements lead your employer to reduce headcount, you should start preparing for a possible downsizing..
Shift your focus from being a downsizing victim to taking control of your career.
Your colleagues may be hanging out in the break room, stressing over the rumors. Leave the negativity and make your survival plan.
In addition to reducing your non-essential spending and saving as much money as possible in an emergency reserve, use these suggestions to prepare in case your employer downsizes you.
1- Stay updated on company information
Read emails sent from your CEO, as well as from your HR department and other support services.
If you work for a privately held firm or a small business, stay alert for any warning signs of a round of lay-offs.
For publicly traded firms, listen to the investor calls. Go to the firm’s website and look for “investor relations” on the site map.
You’ll find information about the next analyst call. That’s where your C-level executives discuss what’s going on with the company.
Don’t get bogged down with this step. It’s just a way for you not to be surprised if and when it happens.
2- Update your LinkedIn profile
Recruiters and hiring departments of firms use keyword searches on profiles to find candidates (think of LinkedIn as a large database).
Look up someone you respect and use their LinkedIn profile as a template.
Your information should be easy to read.
When making changes to your profile, turn off notifications for your connections. In this way, they are not aware of every single change you make on your profile.
3- Expand your network
Once you have updated your LinkedIn profile, check your connections.
Reach out to past colleagues and even college connections.
Start attending professional networking meetings and make a point of meeting new connections.
Most people still find their next opportunity through connections.
4- Explore side-hustles
If your emergency reserve doesn’t cover your essential expenses, start looking at what you can do as a side-hustle.
Start working during your downtime – whether that’s in the evenings or on weekends.
You’ll need to pause your social life temporarily – but it’s only until you can stabilize your work situation.
Look for companies that are hiring now.
It may not be in the industry or career path you’re pursuing, but it’s temporary work.
Preparing for a possible downsizing doesn’t mean assuming the worst; it means giving yourself options.
By staying informed, strengthening your professional presence, expanding your network, and creating additional sources of income, you put yourself in a stronger position no matter what your employer decides.
The goal is to move forward with confidence, knowing you have taken practical steps to protect your career and your financial stability.
Follow these suggestions and remember to stay PEF (positive, enthusiastic, and focused).
ABOUT THE AUTHOR:
Niv Persaud, CFP®, CDFA®, RICP®, is a Managing Director at Transition Planning & Guidance, LLC. Life is more than money. It’s about living the lifestyle you want and can afford. For that reason, Niv consults with clients on money, life, and work. Her approach capitalizes on techniques she learned throughout her career, including as a management consultant, executive recruiter, and financial advisor. Her services include developing comprehensive financial plans, divorce financial reviews, and retirement plans. Niv actively gives back to her community through her volunteer efforts. She believes in living life to the fullest by cherishing friendships, enjoying the beauty of nature and laughing often — even at herself. Her favorite quote is by Erma Bombeck, “When I stand before God at the end of my life, I would hope that I would not have a single bit of talent left and could say ‘I used everything you gave me.’”