AARP Hearing Center
A former colleague heard that her employer was seeking volunteers for the next layoff. Her industry is going through massive changes, and her company is in the news regularly for restructurings and staff reductions. She herself has talked frequently about jumping to a competitor or starting her own venture. Yet, in the final calculation, she decided not to raise her hand. A big factor influencing her decision against a voluntary layoff was her age—she is in her mid-fifties and didn’t feel confident to job hunt now.
Does it ever make sense for someone at midlife to take a package?
Yes, it does. Getting laid off provides a clean break. Severance furnishes a financial cushion. Outplacement support, part of many packages, brings coaching, information, networking and leads toward your next pursuit. Getting laid off from work can be a terrific doorway to change. While workers over 55 can remain unemployed for a longer time, there is an upside: The 55-64 age group has the highest rate of entrepreneurship in the U.S. and start-ups by people over 55 are almost twice as likely to succeed as those founded by people 20-34, according to Kauffman Foundation research.
But is now the moment? Here are three considerations to gauge:
Do you have something better to do?
A layoff might be just the push you need to finally go after the dream you’re harboring. I talked about starting my own firm for three years before I did it; I finally got the nerve when my employer asked for voluntary layoffs, and I took it as a sign. What would you do with newfound freedom? Are you energized by the prospect of finding another opportunity, even if it’s similar to the work you do? If you decide to stay put because you love where you are, keep in mind that layoffs may change your role and will certainly change the culture.