It’s always a feeling of relief to “survive” a round of layoffs. But don’t let that get you complacent. For years, it’s been crystal clear that they fully intend to replace us with cheap foreign labor one way or another. Rebadging, offshoring, firing and backfilling with H-1b’s, etc. And then we have those leaving through attrition, MVO, or other means. Diversity is being replaced with a homogeneous workforce. Young, compliant, and cheap.
For the past several years, I’ve been dumping money into my 401k. And I’d advise everyone else to do the same. And I am going through my monthly expenses like a bulldozer. There are a lot of money saving blogs out there that share so many great ideas. Save on your groceries, cut back on your energy usage, keep your old cars running, have a house well below your financial means and refinance it while you have an income, take low budget vacations, eat out less, etc. Really go through your budget without mercy. You won’t suffer as much as you think and you will thank yourself later.
Every town hall discusses the ever looming threat of the layoffs. And the presenters always feign sorrow and regret about the “toughest part of our business”. Don’t buy it. They are using it as a tool to motivate you with the false hope that giving a little more will put you on the safe list. It won’t. Look at some of the top performers we’ve lost. Plus, they want to condition us to think this is just part of normal business.
For those younger employees, you still have the hope of finding something after AT&T. But I’d still advise you to save like crazy. We also thought this ride would continue. Buy a smaller house, cheap cars, etc. it's only a matter of time before they try to find a cheaper alternative to you too.
Personal finance is just that. A personal decision for each family. But there is so much relief in having a backup plan in place and being ready for the worst case scenario. The reduction in company-induced anxiety is priceless. I’d encourage everybody to get aggressive and find ways to maintain a good quality of life for much less. I sincerely wish good luck to all.