Afraid of layoffs at your organization? Wondering what to do to prepare for the potential change? You’re not alone in facing these fears.
Layoffs have been a go-to business strategy in 2025, and matters are made worse when there are daily reports on the scale of jobs that are expected to be eliminated by AI. It’s natural to feel worried about getting laid off under the current circumstances, even if your employer has provided no hints that job cuts are on their way. If there’s a real possibility that your organization might be conducting layoffs, it’s best to prepare for the incoming changes and plan to address how you might be affected. Dealing with layoff anxiety isn’t easy due to the uncertainties that persist around such a situation, but it is best to shift your focus to matters within your control and prepare for what’s to come.
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5 Tips to Deal with Layoff Anxiety and Address the Factors Within Your Control
Most of us know someone who has been laid off this year, or we stand at risk of being laid off ourselves. With the trends prevalent today, it is apparent that a large majority of the job cuts occurring at the moment aren’t a result of employee shortcomings or any lack of skills among the workforce. Instead, they appear to be motivated by business decisions that are dedicated to reducing workforce numbers. In most cases, layoffs are a result of factors out of your control, and reminding yourself of the fact may be the first step to dealing with layoff-related anxiety.
Organizations that conduct layoffs correctly usually make arrangements to help employees with severance pay and benefits, and some career support. Such resources are often sufficient to see you through to your next job, however, without a clear idea of what benefits might be available to you, it’s important to plan out ways to sustain yourself. In addition to resources provided by employers, it doesn’t hurt to get started with preparing for layoffs financially, ensuring that you can support yourself for the next few months.
If you are worried about getting laid off, here are some tips to deal with layoff anxiety and prepare for the changes to come.
1. Make a List of Your Biggest Work-Related Achievements
Most layoffs are determined at the top, and it is hard to predict who will be affected. In some cases, however, employers conduct interviews and reviews among employees to give them a chance to make a case for themselves before any layoff decisions are finalized.
Elon Musk recently gave his xAI employees only 48 hours to justify their own employment at the organization before layoffs were initiated. While this is an extreme case, if such situations do arise, you will not have to work under pressure to recall and showcase your contribution to the business.
Even if this list isn’t reviewed by an employer, it may be helpful as preparation for your job interviews when you get started with the next phase of your career.
2. Update Your Resume and Professional Profiles
When you find yourself spending too much time worried about getting laid off, it can be helpful to spend your time on productive tasks that reassure you about the future. Updating your resume, portfolios, and other professional pages like LinkedIn can help you prepare for a job hunt, easing any pressure on you to make such changes in case you are laid off. Ensure your contact information is up-to-date and check these platforms with greater regularity to ensure you don’t miss out on potential connections.
While LinkedIn is an intimidating platform to log onto, it’s important to push yourself to share your accolades on the platform so recruiters who stumble across your profile consider you for open positions at the organization. If you’ve made in-person connections with others in your industry, remember to connect with them online as well.
3. Begin Looking for Jobs and Make a List of Employers You’d Like to Work For
While we’d like to reassure you that your job is safe and likely won’t be affected, layoffs are unpredictable occurrences that only a small team of people is privy to in the early days. It is best to avoid jumping to conclusions and start overanalyzing every action as a sign of upcoming layoffs. Instead, it’s best to start understanding the state of the job market while you wait to hear more.
Review various job portals to understand the nature of the work that is available in your industry, and the terms and qualifications required to perform them. In many cases, you can start with online courses and certifications to level up your skills and apply for such roles the moment the layoffs are confirmed.
If you have a list of employers you’d like to work for, you can begin checking their websites or getting in touch with their recruiters to increase your chances of getting hired.
4. Make the Most of the Resources Available to You
Every organization offers a different set of perks to its employees, allowing them to experience a few benefits that improve the quality of their lives. If your employer provides mental health support tools, access to a therapist, or other wellness benefits that can soothe some of the anxiety regarding layoffs, there is no better time to use them. Talk to your support systems, make the most of healthcare benefits, and find different ways to unwind outside of work while you put in your best performance on the job.
5. Sort Out Your Financial Situation As Much As Possible
The central reason for stress of coping with potential layoffs is the worry about its impact on finances and the quality of life. The most important guidance we can provide for dealing with layoff anxiety is to start looking at your finances and evaluating where you can afford to cut down on expenses. Make a list of all the major expenses coming your way, and prioritize those that need to be paid off first to ensure you don’t fall behind.
While it is a hard task depending on your pay and circumstances, it is ideal to have at least 6 to 12 months of emergency funds saved up so you can manage without your monthly or weekly income to keep you afloat. These funds should ideally be easy to liquidate so you can access them immediately, rather than relying on the sale of assets that could take time. You can also check in on the unemployment benefits available in your state so you know how to access the resources you might need to rely on in a pinch.
It’s Not You, It’s the State of Employment Today
If you’re afraid of layoffs and unsure of what to do, speak to more people within your network, particularly those who have been in the situation before. You may receive some conflicting advice on how to proceed, but you can consider your options with a more informed perspective than before. Managers and HR teams may not be privy to insider information regarding the possibility of layoffs, but talking to them can also help understand the situation better.
Ultimately, the decision to lay off workers does not reflect on you or your skills. If an employer cites a limitation in your abilities as the reason for including your role in the layoffs, it is an opportunity to make improvements for your next role. It can be hard to see matters positively when directly confronted by the layoffs, but it helps to prepare safety nets in advance and build a community of supporters whom you can rely on to get you through uncertain times.
How have you learnt to cope with layoff anxiety? Share your experience with us. Subscribe to The HR Digest for more insights on workplace trends, layoffs, and what to expect with the advent of AI.