3 Tips for Surviving a Layoff

There are no good deals for America's work force on this Black Friday.

Employers axed 533,000 jobs in November -- the biggest monthly job loss since 1974, according to the latest report from the Labor Department. The figure, which was nearly double the amount economists expected, pushed the unemployment rate up to 6.7% from 6.5% in October.

“There’s no getting around the fact that these are just horrendous numbers,” says John Challenger, CEO of outplacement firm Challenger, Gray & Christmas. “The outlook is pretty bleak right now.” December and January are historically the heaviest months for layoffs.

While the numbers may seem scary, they aren’t out of step with other recessions, says Richard Ebeling, a senior research fellow with think tank American Institute for Economic Research. “It’s no Great Depression, with about 25% of the work force unemployed,” he says. “We’re nowhere near that bad.”

Both Challenger and Ebeling believe job availability should improve by midspring. Lower home prices and mortgage rates should bring more buyers into the market and act as a stabilizing influence, says Challenger. Meanwhile, companies can move forward as the “haze of uncertainty” lifts on what Obama's presidency will mean for business, says Ebeling.

If you’re among the growing ranks of the unemployed, use these tips to get back on your feet:

Even if you are collecting severance, tightening your belt can help you make it by on that limited income even for a prolonged job search. Two moves to make right away: Sign up for unemployment benefits (keep in mind that there can be several weeks' gap between the time you sign up and when you receive that first check) and reassess your health care coverage. (For more financial do’s and don’ts in the struggling economy, click here and here.)

Don’t be too picky about accepting part-time, consulting or freelance work. Of the 7.1 million workers employed part time in November, 1.5 million said that a part-time job was the only work they could find, according to the Labor Department. Although the bulk of holiday hiring has already been completed, looking for seasonal employment is still a good place to start. Also consider broadening your search geographically as some towns and cities are faring much better than others. (See our slideshow on the best cities to find work.)

With so much competition for available jobs, it’s time to pull out all the stops. Reach out to family, friends, former coworkers or clients and see if they know of any job openings. Use free programs like government-run CareerOneStop.org to freshen up your resume and research new careers where your skills may be useful. (For more helpful job-hunting resources, click here.)

It seems like no job is certain in these tough economic times. Pay attention to news about financial woes within your industry and company, and take steps to boost your profile at work. (For tips, click here.) At best, you may be able to save your job. But even if the ax does come swinging down in your department, a little extra effort now may help you negotiate more severance later.