Who else got fired the week before Christmas?

[froggie]

Up until last week I had an executive position with a great children's charity.

Well, some drastic and sudden board changes have happened and last week I was asked to resign. They are "headed in a new direction, and are looking for a new skill set." Heard that one before?

Not very charitable if you ask me. Especially considering this decision is highly political and does not reflect my performance. Up until then, I had been told I was doing an incredible job since I started 18 months ago. Also? They hired me out of another very good & stable job to come and do this...

Nice way to mess with my 6-years-away FIRE plan.

By the way I am 36.

I have considered my options, and in the end I accepted the settlement with 6-mo salary and benefits subject to my collaboration during the transition; during that time I am also free to find a new job. Was very tempted to just walk away (which would have been serious trouble for them actually). I mean, that's NOT how you treat people. There is NOBODY more committed to this charity than me. I've sacrificed a lot, traveled the world to visit the programs. This was my dream job.

So for the last week, I've been grieving. But then I accepted I should do what's best for me - and ultimately look at it this as: my help will benefit the children who are the recipients of our mission. I am not doing it for the bad guys!

I will wait until January to apply for other jobs of the same caliber, but getting one may take a few months.

Funny thing is, I was considering making an offer on a rental property but that disintegrated with my W2. (I already got two new mortgages this year - my primary and a rental property that is leased for 2 years - so without my 20% on this new property, not a chance...)

Considering I am getting paid my regular salary for another 6 months, and I am fairly confident in my ability to find a similar paying job within 6 months (or if it were paying less, it would reduce my savings rate accordingly, and push out my FIRE date...), what should I do with the $30K down payment I was saving?

Pay off more of the rental property I already own (30-year @ 4.625% and I already pay 25% more than the monthly mortgage)?
Invest further into VTSAX and the like?
Look for alternate financing with private money, and buy that SFH anyway??
Keep money in that stupid "Money Market" until I get another W2 - and then buy a rental? (possibly a different one!)

For background, my monthly expenses are around $4,200 -- 57% of which is my mortgage, hello HCOL!
This year I've already maxed 403(b), IRA & Roth IRA. I've also got the cushion of some child support since I am a single mom - and the ex makes a TON more money than I. But he also spends it ALL :)

Curious to hear your thoughts.
Merry Christmas!!

Froggie

[scottish]

I'd hold on to the cash until I had another position secured.   But I'm conservative that way, partly because we have a single income and 2 kids in university.

[albireo13]

Bogus

[BTDretire]

 I got laid off within 3 weeks of getting my first mortgage. But it wasn't Christmas.
And it was 33 years ago, hardly a blip on my financial graph.

[rantk81]

Hah.  Within a year of starting my first job after college, my employer did layoffs on a Thursday... and I was scheduled to close on first condo the next day, Friday!

Fortunately, I was not one of the folks who was laid off.... It did give me quite a scare though!

[Cornel_Westside]

Knowing me, I'd be searching for a job and as soon as I got one, I'd stop showing up to my old one. I'd have to return the severance money, sure, but I would take that for the inconvenience. As long as your job hunt doesn't take more than a few months, that's the best way to truly inconvenience them. But I understand your heart is in the right place.

I would 100% keep that in cash till you find a job. You may need it to move.

[fuzzy math]

Sorry froggie !
I was laid off a year ago. Do their dance. Smile and do your job and cash that huge check. I hope you can look back in a years time and find some sort of positive outcome after all this.

[soccerluvof4]

I'd start looking for a job right away if as you said you can replace your income pretty easily and hold onto the cash so you can go forward with your original plan

[Maenad]

Definitely hold on to the $30k in MM or savings - if it takes you longer than 6 months to find a job that money will keep your mortgages and other living expenses covered for another 6 months. I highly recommend against putting it in the stock market - if the next recession hits soon, you could have your portfolio decimated, no job on the horizon, and you could lose your properties.

And this does indeed suck. I hope you find something great soon!

[Playing with Fire UK]

What would you do with the money if you knew that you wouldn't find another similar job for a year? Do that.

Keep it available, if you choose to do that as cash, money market, or invested in a taxable account is up to you.

Make the most of any benefits you have - maybe schedule a check-up or any dental work?

A bunch of people I work with were let go just before Christmas - it sucks and I'm sorry. I do think it is more considerate than letting people spend a fortune over Christmas and then firing them in January.

[Livingthedream55]

I'd hold on to the cash until I had another position secured.   But I'm conservative that way, partly because we have a single income and 2 kids in university.

My thoughts exactly! This is an emergency situation. Wait till you have secured primary employment.

And I am really sorry this happened to you!

[Schaefer Light]

First of all, that sucks.  Some people at my workplace were let go just before Thanksgiving, and I thought that was bad enough.  They were also laid off for no obvious reason (i.e. new management wanted to go in a different direction), so these things do happen even in cases when you're performing well.

As for the $30k, I'd put in my Ally savings account if it was me.

[CowboyAndIndian]

I was told on December 15th that my contract would be terminated at the end of the year. So, my last day is 12/29/2017.

I was planning to FIRE in June 2018, so decided to move my FIRE date to 1/1/2018!!!

[froggie]

What would you do with the money if you knew that you wouldn't find another similar job for a year? Do that.

Yea I do like that answer. I have to admit, the last thing I want is to be overconfident and find myself in a bind that I can easily avoid.

Thanks for the well wishes. It's hard to give up on a job you loved.

[froggie]

I was told on December 15th that my contract would be terminated at the end of the year. So, my last day is 12/29/2017.

I was planning to FIRE in June 2018, so decided to move my FIRE date to 1/1/2018!!!

Good for you Cowboy!!! Tell us how it feels in the FIRE-dedicated threads!

[PawPrint3520]

I'm so sorry that happened to you!

Last year my daughter got laid off from the YMCA four days before Christmas for similar reasons. You'd think the Y would be a little more thoughtful. They decided to combine her position with another position and advertise them at a lesser salary. At least they let her continue her free membership until June.

[moof]

After one particularly rough layoff a dozen years ago the head of our design group dragged us remaining shell shocked survivors into a room and repeatedly told us "We are all temporary employees."  He said a bunch of other crap, but him repeating those words over and over is about all that I remember.

I sent out resumes within a week, he acted surprised when I put in notice a couple months later.

Since that time I have come to appreciate his frank and honest statement, it has helped me in building a mental firewall between myself and work.  I actively avoid letting my self value get wrapped up in my job.  My job is a job.  "Dream job" is an oxymoron to me.  I dream of family, hiking, climbing, sewing, and cooking.  I don't dream about design reviews, powerpoint slides, design rules, or feasibility studies.

My current job is a small office that was billed as a "family" that had never had a layoff (nod and smile...).  Then we had one, and it cut our group to the bone.  Severance was crap (2 weeks plus a week per year of service).  It was a reminder that "We are all temporary employees."  I guess even families have disloyal cheapskates?

[tinylittlemonkey]

I am really sorry this happened to you... It happened to me in July. I left a very prestigious company (with great benefits but no pay) to go to my new job and doubled my salary. Yay! For my one year anniversary, they let me go with a 1-month severance package. I bounced back and you will too! Besides, you're in a WAY better position than I was/am. You'll be fine. Sorry I cannot give you any advice... Like I said, I am in a terrible financial position at this time.

Have a happy holiday! :)

[Playing with Fire UK]

What would you do with the money if you knew that you wouldn't find another similar job for a year? Do that.

Yea I do like that answer. I have to admit, the last thing I want is to be overconfident and find myself in a bind that I can easily avoid.

Thanks for the well wishes. It's hard to give up on a job you loved.

Good luck, I hope you find something that speaks to you as powerfully as this job did. There are many ways to do good.

[froggie]

... "We are all temporary employees."  ...
I sent out resumes within a week, he acted surprised when I put in notice a couple months later.

You know, this is so true. In any job. When you work at someone else's dream/company/fortune you are temporary/disposable/replaceable.
I've been thinking about doing my own thing, and when I am financially independent I can use my extra income to do go - and for precisely the causes that are dear to my heart.

Thanks for this - and yes, family works the same, there is ALWAYS a risk that a decision is made that you won't agree with.

[Roadrunner53]

It hurts worse to get laid off at a holiday but anytime you lose a job you love it is killer. I lost two jobs I loved and one more that was ho hum. One was 18 years at a prestigious food company and another at a medical device company (4 years). The ho hum job lasted 10 years. Both jobs had good points and bad points but ultimately, I loved the jobs. My Hub worked at a large corporation with around 800 employees at his facility. They were in the process of downsizing but had not laid off anyone as they were trying to prepare everyone 'psychologically' to deal with it. They brought small groups into conference rooms and showed a video on Who Moved My Cheese. For those who are not familiar with the book it is about some mice that have discovered that the stash of cheese, that they were accustomed to eating, and never having to search for, were suddenly dismayed to find was gone. Finally the one mouse decides to search for cheese while the other disgruntled mouse wouldn't budge. The mouse who hunted for a new source of cheese finally did find some. The other mouse who stayed behind finally realized the cheese was gone and he too had to look for another source. Needless to say, these gruff production workers who were shown this video were beyond ticked off and Human Resources stopped showing the video for fear of a riot! LOL! Yes, as others have stated, jobs are just temporary. Never think losing a job won't happen to you. It happened 3 times to me.

[fuzzy math]

I hate that book!!! My mother in law sent it to me and I took it very personally. It is the dumbest most overdone story premise.

[koshtra]

Oh, ow. You know, I've gotten to the point where I hear the words "dream job" and I get the horrors. It seems like all the worst employment stories I hear have that phrase in the first sentence. Just gimme a job, please. Hold the dreams.

Working for a board, well -- working for a committee pretty much always sucks. They lurch. They fail to communicate. They end up blundering even when they mean well. I don't know how you charity exec types do it: I'd go to pieces.

Anyway, random responses: what I really mean is so sorry this happened to you! Fervently hope you're able to thumb your nose at them in record time.

[I'm a red panda]

When I was laid off, with a bunch of other people, the company hired consultants to help us write resumes. We were all professionals with advanced degrees, not kids in minimum wage jobs. We all knew how to write a resume, having needed one for this job! What they paid those consultants could probably have kept us employed for quite some time. It was insulting.

[Roadrunner53]

When they finally shut down a production department (at the company Hub worked for) the first shift people were headed into work and the third shift people were just getting ready to finish their shift. They told them to shut the machines down! The machines ran 24/7 except for a few holidays. They kept the first shift people out in the parking lot and shuffled them into a conference center and they shuffled the first shift people into another conference room inside the building. They were told they were laid off and to leave the building. There were guards on top of the building with guns in case someone freaked out! That was unreal!My Hub worked in another department and had free access to the whole facility. He was stopped by a guard and asked why he was passing thru. LOL! Lucky he didn't get shot. The company totally did away with that department, yanked the machines out and sent them to another facility. A lot of people lost their jobs. These people, as production workers, were making $80-$100K a year due to a lot of OT and shift differentials on Holidays, Sundays, etc. A lot of them had a spouse working in the department so many lost two incomes. These people thought the gravy train was never going to stop. They bought mansions, BMW's, Mercedes, cruises, you name it they did it. I assume many of them lost everything. There are no other places in this area that pay that kind of money especially for production jobs!

Haha, yes, they did not like Who Moved My Cheese. Some were so angry they walked out!

My words of wisdom are to pay yourself first, do not fall for needing mansions and fancy cars. The gravy train sometimes falls off the rails.

[Kay-Ell]

I got layed off recently with 1 month transition pay and 5 months of severance.  It wasn't my dream job, and it wasn't in conjunction with a holiday, so I felt exactly the opposite about my layoff as you are describing.  But here's a couple of things that might help you see a bright side.

-Now you have more time for the holidays, without stressing about work or wasting time in the office.
-Any PTO you planned on taking for the holidays can now be paid out to you in cold hard cash
-If it takes you 3 months to find a new job, think of it as a 3 month vacation followed by 3 months of double pay

Now, in regards to the income property.  Call me crazy but if I really liked the property I'd still buy it.  Here's my thinking.  First of all, you have 6 months of severance to count on.  You expect to have a new job within a couple of months, but if it takes longer your 6 months of severance will likely last you 9-12 months (I'm estimating based on the fact that it seems you have a pretty high savings rate).  In addition, within a very short time your income property should, in theory, create additional income for you.  To me that's more valuable than 30k in cash.  It just doesn't sound like you are the kind of person who really need a 30k emergency fund considering the next 6-12 months of your living expenses are already secured without dipping into your savings.

So if it were me, I'd play on the sympathy of your former employer and ask them to confirm your employment for your lender over the next 30-45 days (however long you expect it to take).  As an HR professional I did this, with the blessing of the higher ups in the company, for several people.  And then when I was laid off, the same offer was extended to me.  Your W2 will be the same at the end of the year as it would have been without the layoff (since you're getting severance pay).  You'll still have paystubs, and payroll can probably work with you for the next month or two so they don't say "severance" on them.

[Roadrunner53]

I got laid off in 2011 and unemployment was extremely high in CT. I was able to collect unemployment for 73 weeks and it was around $525 a week. I could be off on that but it was awesome! Don't get me wrong, I did try my ass off trying to get a job but couldn't find one. Only wish I was old enough to slide into SS after unemployment but was too young then. During that time my Mom was sick and went thru tons of tests and things but passed so it was a sucky time for sure!

[FINate]

I don't have much to add except to say that sucks and I'm sorry. By definition executive roles are political - there's nothing menial about it, with many intangibles involved, and you served at the discretion of the board. Try not to take it personally (I know, easier said than done) especially since it appears that your past performance was fine. Very well could be that the new board wants to make room for someone they have in mind. In other words, very well could be less about your skills/performance and more that someone on the board knows someone they really want to bring in. I know that still sucks.

Oh, and agree with others on the thread, hold on the cash until job/finances are back in order.

[froggie]

Oh, ow. You know, I've gotten to the point where I hear the words "dream job" and I get the horrors. It seems like all the worst employment stories I hear have that phrase in the first sentence. Just gimme a job, please. Hold the dreams.

I hear you, but I had invested so much of myself - and willingly so, because the mission is incredible - that I go completely blindsided. I had just returned from a trip to Asia, and I grew even closer to the organization and the people on the field, so yes, pulling kids out of poverty and giving them an education and the means to access a stable job.. That was (still is) my dream.

I will bounce back. But in the meantime, well, yes it hurts.

If you haven't seen it already the Philanthropy News Digest job board is a great resource if you want to stay in the non-profit sector.  DC is one of the places that has a higher number of job listings, so I would say your chances are good.  There may be things you could do in the federal government, too, though with the new administration hiring is frozen or very slow in a lot of the areas where you might be qualified (I'm thinking State Department, primarily, but also maybe Ed or DSHS).   Anyway here is a link to the current postings for DC on the PND board -- they also have a weekly email jobs bulletin that sums up new positions pretty thoroughly.

http://philanthropynewsdigest.org/jobs/(search)/?attr_tags_org_type_lk%5B%5D=&attr_tags_job_type_lk%5B%5D=&attr_tags_location_lk%5B%5D=district+of+columbia&search_text=&btn=&day_filter=0

Good for you lhamo, and thanks for the link. I think I am going to pass re: Federal Government for the reasons you mentioned and also, I don't see myself serving this administration. I really can't. I'd also prefer staying outside of DC, but the opportunities are definitely weaker.

So if it were me, I'd play on the sympathy of your former employer and ask them to confirm your employment for your lender over the next 30-45 days (however long you expect it to take).  As an HR professional I did this, with the blessing of the higher ups in the company, for several people.  And then when I was laid off, the same offer was extended to me.  Your W2 will be the same at the end of the year as it would have been without the layoff (since you're getting severance pay).  You'll still have paystubs, and payroll can probably work with you for the next month or two so they don't say "severance" on them.

It would be a good idea, except I "was" HR and whoever is left over there has no intention of playing nice. In fact, in a nightmare scenario turned disaster the separation agreement I amended slightly and sent back to the board has not been executed by their side yet. I've got some moral guidelines that I just won't override for any $$ in the world and some of the things they are asking me to agree with are just plain illegal - in an international context that is.

Long story short: the odds are, there may be no severance at all...

I've got between Xmas and NY to determine if I will hire a lawyer to scare them off and leave me alone.

I've updated my resume and selected a few jobs to look into further.

I don't have much to add except to say that sucks and I'm sorry. By definition executive roles are political - there's nothing menial about it, with many intangibles involved, and you served at the discretion of the board. Try not to take it personally (I know, easier said than done) especially since it appears that your past performance was fine. Very well could be that the new board wants to make room for someone they have in mind. In other words, very well could be less about your skills/performance and more that someone on the board knows someone they really want to bring in. I know that still sucks.

Oh, and agree with others on the thread, hold on the cash until job/finances are back in order.

100% with you on both counts!

[SC93]

Like the one post said.... you are all just temporary employees. All of you could be 'let go' within a month. I really was always scared of that when I worked for someone else. I never slept well because I wasn't in charge of my own dream, I was only a visitor in someone else's dream.

[Slee_stack]

I haven't used the word 'permanent' in the same sentence as employee in decades.

People still use the term 'temp' but I call it direct and in-direct or direct and contract.

I got laid off about 10 years back.  The first round was unannounced and we lost half or more of the work force.

The remaining employees were promised different termination dates, although nothing in writing.

A group that was supposed to make it through to January got let go right at Christmas.  They would have earned 2-3 weeks vacation pay had they made it to January.  They were rightfully upset but obviously the company didn't give a flying F about any employee.

If I wasn't jaded before, I became fully jaded after that happened. 

Loyalty is merely a concept.  There really isn't any in the work world.  If a company is 'nice', there's usually just a financial motivation behind it.  Its almost always because they have don't have cheaper and/or more capable resources as options to replace you.

Once you accept that, work can be OK.  Treat it for what is is.  Do enough to satisfy YOURSELF.  Nothing more.

Sorry about the unplanned termination!

[Davin]

Sorry to hear about your losing your job, Froggie. I too was let go right before Christmas, on Dec. 22nd of 2015. I had worked there 7 1/2 years, always got stellar performance reviews, and liked the job a lot. They let me go after I suffered an industrial injury, even though I was still able to perform my job with little to no formal accommodation. I didn't get much of a severance, just my back sick and vacation leave I had accrued. I didn't get much of a workers compensation settlement either, the equivalent of fewer than six months pay, out of which my lawyer took a cut. I still haven't been able to find a professional position to replace the one I lost, and have had to do ridiculous side hustles like picking up a few shifts bussing tables, catering, and a one-week weed trimming stint. The point of telling you this is to reinforce my opinion that you should probably keep that down payment liquid for a little while; if I didn't have some cash savings I'd be really screwed right now.