Learn these tips to learn how to handle what comes your way and be more resilient
Unexpected changes are just that–unexpected. Taking a few simple steps now will help you to be more resilient and better positioned to bounce back in case impacts come your way.
When indicators point to an economic downturn or tough times in a company or industry, most of us simply don’t like to think about the negative “what if’s” that can happen.
Even when things are going well, circumstances can change faster than you might think. Large economic or political factors can disrupt whole industries. A miscalculation by management, a boss, or supervisor can have repercussions throughout a whole team.
Faced with a loss of income or work, most people react the same way as they would to any other major loss. It’s common to go through all five stages of grief. First there is denial that “they” can do that, leading to anger at this and every other wrong that has ever been perpetrated on you. Then as panic sets in, you might start bargaining and considering jobs beneath what you are worth. The lowest point is usually some form of depression at realizing that the loss is final. Finally most people reach acceptance.
This process can take a few days at best, or a few months at worst. The first four stages–denial, anger, bargaining, and depression–leave you in poor shape for recovering and getting back on your feet.
Fortunately, there are things you can do when things are going well to get through the tough times if and when they come. You’ll be less likely to get stuck in negative reactions, and more likely to start acting positively for your best recovery.
By working on resilience now, you position yourself to bounce back quickly and get back on your feet.
Five tips to help you bounce back.
1. Have a trusted friend you can call. Whether it’s your coach, a best friend, or a trusted family member, talking to someone when you hit a major setback is the healthiest thing you can do. Job changes stir up all kinds of emotions, those normal in loss situations and sometimes other emotions as well. It’s invaluable to have someone listen as you talk your way through it, vent your negativity, and start formulating a plan. You can and should be clear that you are not asking the other person to solve your problems. Just ask them for an empathetic ear while you figure out your first steps forward.
2. Cut your losses. If you are lucky, you might be offered a severance deal. In many instances, you can also demand some kind of severance or compensation for a loss. Be careful not to get caught up fighting for more than you are offered or more than they are willing to give you. The worst case is to get bogged down in a legal battle. This can cost you attorney’s fees and can become a major distraction from moving on. Instead of demanding more, focus on bringing down your monthly costs wherever possible. Consider bumping down to basic cable and reviewing your cell phone contract to find a better deal. Eat out less and take other prudent steps to tighten your belt for a few weeks. These actions are easily undone when cash is flowing in again.
3. Always have a cushion in the bank. This is the most important action you can take to become more resilient. It’s surprising how many people don’t have ready cash on hand “just in case.” If your only option is to max out your credit cards, that can affect your credit score and start a cycle that can end badly. I recommend working to build a minimum of three months living expenses in a savings account or a liquid asset like a no-penalty CD or investment account. It’s not advisable to leave it in your main bank account, so separate it out. A six-to-twelve-month reserve is even better. It may take you a year or so of small payments into a savings account to get the cushion you need, so start small and start now. If you’re a small business owner, also consider a business line of credit as a resilience measure for when expenses pile up at once and income is lagging behind. Resources like ConsumersAdvocate.org or your local banker can help you get a credit line at a much more reasonable rate than credit cards.
4. Keep your resume up to date. Dust off your resume twice a year, even if you have been at a job for some time and have no plans to leave. Update your LinkedIn profile, too, while you’re at it. If–or when–you need it, you won’t waste time trying to remember when you turned that project around or nailed that key account.
5. Maintain friendships in every job and on every deal you make. Take the long view in your business dealings. Be fair and establish relationships. That way, you’ll have a bunch of advocates you can call on when you need it. They will point you to job openings, call people on your behalf, and introduce you to people in a position to make decisions. Remember to thank everyone who helped you when things are back on track.
Life can be unpredictable. Being more resilient, helps you bounce right back from a job or health disruption and recover quickly. Plan now and you’ll see, becoming more resilient helps you sleep better and be more confident too.