Software Engineer Guide on Preparing for Layoff
I am doing this right now to prepare myself before the rainy day.
The atmosphere in the tech industry hasn't been this intense in over a decade.
All tech companies are on a layoff spree.
Stripe laid off 14% of its workforce. Facebook laid off 11,000 of its workforce. Lyft and other tech companies also laid off major percentages of their workforce in an attempt to cut costs.
There has been talk among engineers that more companies will be conducting layoffs.
Wall Street Journal stated that the talent war is over.
The recruiting table has turned from engineers choosing which company they want to join, to companies choosing which engineer to employ.
Quiet quitting changed our perspective on work and had its moment before this recession wave.
A lot of engineers felt anxious hearing this news right now. They have a hard time sleeping at night and work harder than they should to prove their value to their company.
What should you do if you are currently employed but unsure about the upcoming changes in the macroeconomy?
I am doing this right now to prepare myself before the rainy day.
🔪 Sharpen Your Interview Skills by Interviewing
Always keep interviewing.
Interviewing is like public speaking. You will always feel that butterfly and anxiousness every time you do it.
The downside of interviewing is that it takes a lot of time away from your working hours and personal time. As you do it regularly, you'll find it takes less and less time since your resume is always up to date, and you get better at weeding out companies you wouldn't want to work for.
The more you keep interviewing, the better your ability to solve any interview questions become. You can answer questions spot-on and ask good questions to the interviewer.
This comes from a phenomenon within our brain - the more often a memory is recalled, the stronger its neural network becomes. Over time and through consistent recall, the memory becomes encoded in both the hippocampus and the cortex. Eventually, it exists independently in the cortex, where it is put away for long-term storage.
You get to practice and gain insight into interview questions. You always have an idea of your worth.
We often think it is a red flag to want to keep interviewing, and candidates often perceive it as "wasting the company's time." However, on the other side, companies keep interviewing candidates even if there is already an offer on the table to have their own safety net. In addition, they keep job postings open all the time just in case any hiring funnel or engineering resources goes south.
Update your resume. It will be late to take action once you get laid off.
🏋️♂️ Don't Overwork
Working more is a natural response to the stress that you're feeling.
If you need to take action to feel like you are mitigating risks, preparing for interviews is the best way to spend your time.
With multiple companies laying off software engineers, you may be tempted to work harder to prove your worth at the company.
Chances are working more is not bulletproof for a layoff.
Performance can be ONE of the many factors in deciding who to layoff. However, other decisions outside of your control also contribute to layoff decisions.
Do something outside of work. This may be counterintuitive, but the natural response of diving in more and working 60-hour weeks when you perceive risk makes you all the more paranoid and harshens the blow if layoffs ever do happen.
Remember, in the employer's eyes, you are little more than just a number in their accounting ledger.
🤙 Hit Up Your Previous Colleagues and Get Your Social Network in Order
Reach out to your colleagues/manager/tech lead/mentor you previously connected and worked with.
Drop in and say hi 👋.
If you need a referral someday, they'll at least remember you. This is also good to do in general, even if there are no layoffs.
This is how you can stay ahead of the news and learn about new initiatives, failing projects, etc. The goal is to NOT ever be surprised.
Try to keep in touch with anyone that got fired. Besides being a good friend and human being, you can gauge how quickly they can find new jobs and where so that if you want to jump ship, you'll know who's hiring.
When you reach out to your network, genuinely try to catch up and understand their current situation.
One of the mistakes when reconnecting with old colleagues and bosses is to talk too much about yourself.
You can make more friends in two months by becoming interested in other people than you can in two years trying to get other people interested in you. - Dale Carnegie
It is better to be genuinely interested in other people than to try to become interested.
Why? Because all humans have an innate desire to be appreciated.
When we do all the talking, we rob others of the opportunity to perform this essential act. How did you feel the last time someone you just met kept talking about how wonderful and successful they were? You likely developed, at minimum, low-grade envy and dislike for this person.
Don't keep the conversation safe and at the surface level. Small talk is a good way to break the ice with your unfamiliar network, but you'll only get to know someone once you go deeper into the conversation. Keep small talk in the first 10-20 minutes for practical reference.
We often don't want to sound ignorant about things we don't know about. However, the other person will probably take your silence as an indication that you are not interested. Listen and ask questions.
A surface-level conversation:
"What team are you in right now at X company?"
"At the payment team still."
"Oh, cool."
An example of deeper questions:
"What team are you in right now at X?"
"At the payment team still."
"Oh, I see. How is the current state of the team? What projects are you currently working on?"
"We are currently initiating the Y payment provider in Z country…"
Asks more in-depth questions that apply to that person's work. A couple of examples are:
"Is this new technology affecting your work?"
"What drew you to choose to work at X company?"
"Tell me about the business model of your company. Who delivers value to whom, and how do you make money?"
Closing Thought
A recession can be daunting. Preparation is key during times of economic downturn. Your preparation can help boost your confidence when trying to find a new job and help give your mind a break so that you can sleep better at night.
You can prepare yourself for a layoff with these three tips:
Sharpen your coding skills and your interview skills. The market is still good, but expect something other than a FAANG salary. Figure pay will still be higher than in most industries. Make sure you are more valuable than the person next to you but don't backstab other people. It may come back to haunt you.
Overworking is a sign of anxiety. Working more doesn't necessarily mean you’re safe from a layoff. It just dampens your mental health every day. Try to get your mind off your worries and save energy for the future.
Reaching out to your old network helps you reconnect with old colleagues and can help with your future planning and job search opportunity.
What have you done to prepare for a layoff? Comment them down below.