Elizabeth Openshaw 
Being laid off isn't easy, but there are some positive steps you can take
Losing your job for any reason can be upsetting and disconcerting. And it usually isn't your fault. Redundancies are rife. Lay-offs are lingering. Dismissals are dismal. If you're wondering what to do or whether you're eligible to claim benefits after you've been laid off, read on for some helpful information to guide you.
Being laid off is not the same as getting fired
It's common knowledge that getting fired from a job means an employer has terminated their worker's employment. The termination is typically made against the worker's will, and as a result of them not meeting the requirements of the role or some sort of misconduct. Being laid off, on the other hand, is different as it has nothing to do with you as a worker; more that the company you work for can no longer employ you, for whatever reason.
Generally speaking, being laid off in the UK can be a temporary solution. It's not exactly the same as redundancy, which is more of a long-term arrangement. Laid-off employees may be asked to stay at home or take unpaid leave if there isn't enough work for a short amount of time, as long as this has been made clear in their employment contract.
Alternatively, some employers may choose to implement short-time working, whereby the employee works reduced hours or is paid less than half their weekly pay, to accommodate a drop in available work.
In some cases, being laid off can result in the permanent termination of employment due to the need of the business to downsize. More often than not, in these instances, more than one employee will be affected by these lay-offs.
What benefits can I claim if I have been laid off?
It's a troubling time when a job is uncertain, and you're not receiving your normal weekly or monthly income. You might be asking yourself, “Can I claim benefits if I have been laid off?” After all, you aren't necessarily unemployed… yet.
Financial support from the Government
According to the Department for Work & Pensions, you might be able to claim the following benefits while you're laid off:
However, if the lay-off period lasts for four or more weeks in a row, or six or more weeks within a 13-week period, you can apply for redundancy payment.
Top tip: You must give your employer written notice in advance if you decide to go ahead with this.
Statutory guarantee payments
While researching “what benefits can I claim if I have been laid off?” be sure to check out statutory guarantee payments. It's the pay laid-off employees are entitled to for the days they don't work. It's a legal minimum requirement in the UK, and in 2024, this pay equates to £38 a day for five days in any three-month period, with the maximum being £190. If you work part-time, your entitlement will be worked out in proportion to your hours.
To be eligible for guarantee pay, you must be:
-
Classed as an employee
-
Have been continuously employed for at least a month
-
Available for work
-
Don't refuse alternative work
-
Not been laid off due to strikes
Can I take on other work while laid off?
You may be entitled to take on another job or extra work during the lay-off time, as long as your contract allows this. If you plan to do this, it's best to:
-
Get your employer's agreement
-
Don't work for a competitor
-
Make sure you're available to work your original job once the lay-off ends
Improving job prospects after being laid off
If you've been laid off, there are several ways you can productively fill your employment gap to improve your job prospects. Whether you'll be returning to your current role or searching for a new one, how you spend your time during this career break can help you prepare for your next move.
-
Upskilling: This is a great way to expand your skill set and improve your CV. There are numerous free online courses where you can learn new skills that could help you position yourself as a competitive candidate in the job market.
-
Networking: This is another strategy to assist you in finding work, as you might know someone who knows someone else who can help. By forming a professional relationship with someone inside the company or team you wish to work for, you're already a step ahead of the rest.
What to put on your CV if you've been laid off
If you're concerned about how your laid-off status will look on your CV, don't be. You don't have to specify that you were laid off on your CV – this is something the recruiter or HR Manager can discuss with you later on in the recruitment process.
If you do feel it's necessary to address any employment gaps, there are a few strategies you can employ. First, you can format the dates of your CV by removing positions older than 15 years and omitting months from recent employment. You can also make a quick mention of your career break in your Personal Statement ‒ just don't dwell on it.
Career breaks or gaps in employment are more common than you think, so don't be too concerned about a recruiter spotting a work gap. At most, they will ask why you had a break in employment when they're screening your CV.
Top tip: Honesty is always the best policy. Stay professional, never bad-mouth an employer, and stick to the truth. The recruiter won't hold it against you.
Moving forward after being laid off
While it's reassuring to know you can claim certain benefits if you've been laid off, it's natural to feel lost and unsure during this time. If you choose to search for a new job, it can take time, but it's important to remember that you're not alone. When it comes to the job search, expanding your skills is an excellent way to ensure you remain relevant in your industry. Research networking opportunities, and most importantly, dedicate time to writing a flawless CV.
If being laid off has led you to begin a job search, start with a CV that will get you noticed. See how yours stacks up by getting a free CV review.
This article was originally written by Rikki Wimmer and has been updated by Elizabeth Openshaw.