Laid Off Vs. Fired: What’s the Difference and Why Does It Matter?

 

When it comes to finding a new job, there is a difference between laid off and fired. These differences can affect you in both the short and long term. If you have been laid off in Oklahoma, for example, you would not want to tell a potential employer that you were fired.

 

What Is the Difference between Layoff and Fired?

 

The reason for termination is the main difference between being laid off and fired. Being laid off is beyond an employee’s control, and it typically affects multiple people at the company.

Reasons for Layoffs

●     The company downsizes or closes

●     There is a reorganization

●     The company goes through a merger

●     A grant ends

●     The business changes

 

Reasons for Firings

●     Poor job performance

●     Failure to meet company requirements

      ●     Breaking company policy

●     At will employer (requires no reason)

 

What the Difference between Being Laid off and Fired Means for You

Now that you understand the difference between layoff and fired, you should consider how they affect you. Since the difference between laid off and fired often comes down to the fault of the employee, a layoff has benefits that firing does not. If you find yourself laid off in Oklahoma, there is a chance that you will receive a severance package, but this all depends on the company you are leaving.

Another difference between laid off and fired is the job search assistance and possible help with COBRA that employers may provide. Additionally, someone who has been laid off is more likely to qualify for unemployment benefits.

If an employee is fired for misconduct, they are unlikely to receive unemployment benefits or any type of severance. There is also little chance of acquiring a good recommendation. There are occasions, however, where a good employee is fired for circumstances out of their control, such as inadequate training. It is possible to receive some severance and unemployment benefits in these situations, but they are rare.

Being fired is more likely to affect your job search negatively than being laid off, but there are ways to make the most of a bad situation. First, do not use the word fired to describe your case, and discuss your past employer maturely. Complaining will not help secure a new position. Instead, remain positive and explain how you have learned and grown. 

No matter where you are in your job search, understanding your situation and how to navigate it to your advantage will help secure a new position.