How to recover from a job loss: practical steps to bounce back

Losing a job can be quite a shock to the system, and it doesn’t matter if you knew it was coming or it was a total surprise. Human beings are complicated, and acceptance doesn’t necessarily arrive right away. Much like the five stages of grief, when recovering from a job loss, you’re likely to go through similar stages before you can fully process the situation. Since you’re very likely feeling “all the feels” right now, it’s helpful to know what’s coming down the emotional pipeline so you can be more prepared to deal with it.

In this article, we’ll discuss:

• The five stages of coping with a job loss

• How long does it take to get over losing a job?

• 8 Practical steps you can take to rebound after a job loss

5 Stages of coping with a job loss

In her groundbreaking research on grief, psychiatrist Dr. Elizabeth Kübler-Ross identified five stages of grief: denial, anger, bargaining, depression, and acceptance. While the loss of a job isn’t the same as the loss of a loved one, it’s still a loss, and it can take a toll. Remember, there’s no set time frame for any of these stages; you might linger in one for a while, but sail through another. There’s no one right way to recover from your job loss. 

Stage one: Denial

If your first thought after getting laid off is, “No. I can’t believe this is happening. There must be some mistake,” then you’re in the denial stage. To get through this stage, you have to face the fact that lousy things happen, and you have to accept your current situation. 

Stage two: Anger

You have every right to be angry, but don’t let it take over your life. Get some professional help dealing with your feelings, consider anger management, or find another positive way to process your feelings.

Stage three: Bargaining

After you've moved through your anger, you might find yourself trying to find a "workaround" to your situation. You might think, "Well, maybe if I offered to take a pay cut I'd get my job back," or "If I just show them how dedicated I am, they'll change their minds." But remember, this is not helpful thinking, and it keeps you mired in grief. You need to move forward.

Stage four: Depression

This is a tough phase. Once you've realized that this is the way things are and you can't change them, you may find yourself in a state of depression. More than "the blues," depression is a clinical condition that affects how you see yourself and the world around you. But it's nothing to be ashamed of. In fact, 29 percent of adults have been diagnosed with depression at some point in their lives. Keep your eyes on the future and reach out for professional help if it becomes too much. 

Stage five: Acceptance

Accepting your situation and realizing that you weren't at fault is a major accomplishment. It means that you're ready to move on and start over. Create a plan to find a new job, and stick to it. You’re a great person with a lot to offer, and very soon a new company will see your value and hire you. But if you need a little help getting there, don’t despair. Career.io’s Career Coaching can provide job search strategies, a career plan, personal branding advice, and expert insights, all designed to help you get the job you want and deserve.

How long does it take to get over losing a job?

Losing a job can mean financial instability, professional upheaval, and a lot of stress, and you won't get over it overnight. Although long-term unemployment can result in less emotional stability, according to an Australian study, it’s not hopeless, and it will pass. In general, most people “get over” their job loss within six months to a year, although it’s different for everyone. The important thing is to process your grief on your own timetable, seek help if you need it, and have a plan to get back on track.

8 Practical steps to recover from a job loss

If you've lost your job, whether from downsizing, restructuring, or your employer going out of business, you're likely to feel lost. And that's natural. But you can’t just sit there and hope things will get better. There are active steps you can take to make the transition from unemployment to employment a smooth one, getting past roadblocks and moving forward in your career.

1. Allow yourself the space to grieve

Losing your job is a big deal, so don’t minimize it. But you also don’t want to dwell in it. Don’t get stuck in negative behaviors, such as overeating, sleeping too much, or lashing out at others. Acknowledge your feelings, knowing that they will soon pass. Accept that this is the way it is, and understand that it won’t always be this way—it’s a temporary setback and you’ll be back on your feet in no time. 

2.  Maintain a daily routine

Look at it this way: your job now is to find a new job. And since jobs have set schedules and routines, your job hunt should be no different. Each day should have a similar routine of goals and tasks, and it’s important to stick to them. Your routine can be as simple or complex as you need it to be, but it's important to get something accomplished every day, whether it's making phone calls, sending out your resume, or updating your social media profiles. 

3. Take a look at your finances and make a plan

Job loss often involves some degree of financial uncertainty, which can be scary. This is the time to take a close look at your budget and figure out a plan. You can also look into alternate health insurance options, unemployment benefits, and even talk to a financial planner to help you bridge the gap between jobs. If you can, consider a "side hustle" or temporary work to have some income until you find a new, permanent position.

4. Analyze your skills and identify gaps

Create a list of your hard and soft skills to determine how they can apply to your next position. In addition to being a valuable resource for your resume, it can be a boost to see what value you bring to the employment table. If you find that there are some skills you need to develop, this might be a good time to take some courses or get that certification you’ve been thinking about.

5. Lean on your social connections

Your life doesn’t have to be 100% focused on getting a new job, at least not right away. Talking about your feelings with a valued friend or family member can be a great stress-buster and help you find solutions you might not have thought of on your own. Or maybe you just need to vent—that's fine too! Or, consider joining a club or volunteer organization. 

6. Keep it moving

When dealing with a job loss, it's easy to spend time dwelling on your feelings. While you're processing, take the time to exercise. Exercise is great for mental and physical health, as regular exercise can regulate stress hormones, help you deal with depression and anxiety, sleep better, and improve your self-confidence and overall well-being. Regular physical activity also supports neuroplasticity and increases the oxygen supply to the brain. Even 30 minutes of walking will do the trick. This will help you have the mental and physical stamina you need to find a new job and keep yourself, as well as your career, moving forward.

7. Take care of yourself 

No one said recovering from a job loss would be easy, but if you take the time to eat right, get sleep, and practice some self-care, it won’t be as difficult. Reduce your intake of fast food and “junk” such as chips, ice cream, or other processed sugars and carbs (although there’s nothing wrong with a “treat” once in a while!). Don’t go overboard on alcohol, or nicotine, either.  Both can temporarily lift your mood and energy levels but leave you more stressed and anxious when their effects wear off. And don’t forget the power of sleep. A good eight hours will keep your stress levels in check (everything is harder when you’re tired) and give you the focus you need in your job search. 

8. Stay positive

It may take longer than you anticipated to find a new job. Don’t stress out! It’s easy to get frustrated, but it’s important to stay positive. Set small, achievable goals for yourself, and focus on the things you can control, not the things you can't. You have more power than you think! If you find yourself feeling down, take some time to write down—on an actual piece of paper—all of your good qualities, skills, achievements, and things you’re proud of in your life. This will help remind you how far you’ve come, and of all the great things you have to offer other people, as well as a potential employer. You’ve got this!

If you’re looking to fine-tune your job search, check out Career.io’s Job Search Strategy, which will provide personalized guidance, state-of-the-art tools, and a streamlined job search process to help you get the job you want in less time.

Key takeaways

1. When dealing with a job loss, you’re likely to go through a grieving process before you can fully cope with the situation.

2. Most people “get over” a job loss within six months to a year, although everyone is different.

3. There are active steps you can take to make the transition from unemployment to employment a smooth one, such as practicing self-care, analyzing your skills and financial situation, and reaching out to your support network.