My organization announced a buy out option, and I need assistance

[Anonymous]

Yesterday I learned that my group within a large company was reorging. I landed a position, and it is a good one. But, I am less enthused about the strategic direction and my new reporting structure.

Today, the CEO offered a voluntary separation offer to all. It is not bad. (For me, 5 months severance, 20K cash, cobra, outplacement.)

I am considering it, but haven't tested my worth in the open market in 15 years. I understand this is almost impossible for people to answer when I don't identify my industry or circumstances, but curious what considerations I should take in mind, and how best to approach a job search after being in my position for so long.

Thanks in advance.

[Anonymous]

If you say your industry and type of role it'll be a lot easier to help you. I don't know why people leave at such key details on an anonymous board.

Either way, how long do you have to decide? Do you have time to put out feelers to your prof network and see how the job market looks at other companies? Do you have people that will go to bat for you?

How will you / your fam handle the stress if you don't find anything for a couple months? Are you all typically able to go with the flow or will the stress put a big strain on things?

[Anonymous]

Anonymous wrote:If you say your industry and type of role it'll be a lot easier to help you. I don't know why people leave at such key details on an anonymous board.

Either way, how long do you have to decide? Do you have time to put out feelers to your prof network and see how the job market looks at other companies? Do you have people that will go to bat for you?

How will you / your fam handle the stress if you don't find anything for a couple months? Are you all typically able to go with the flow or will the stress put a big strain on things?

Very good, legitimate questions. I am in consulting. I imagine I have people that will go to bat for me, but I will see when I test this. As for our family, we could only absorb me being out the work for half of my severance before it would get uncomfortable/risky.

Thanks for the response.

[Anonymous]

If you're seriously considering it, it may be worth taking a stab at enhancing the severance offer. It may or may not be possible, but I've seen it work for others in the past. A bump to, say, $25K and 8 months might be enough of a cushion to make you more comfortable jumping. I'd also start job hunting immediately. At worst, you will have some practice for the inevitable desire to leave in a year post-reorg. At best, you will get a month jump on getting a new job.

[Anonymous]

Getting a job in 2.5 months is almost unheard of...unless you have some really in demand skill set. Companies are beginning to hire but they want perfect fits. Think multiple interviews, delays between interviews (different days as people travel), and the time just drags on. I'd be concerned about taking the package if you really only have about half the time to feel financially stable. That said, if they are offering buyouts then they want attrition so I'd start looking now, regardless. Good luck, whatever you decide.

[Anonymous]

I'm wondering if the OP works for my nonprofit organization, since I received the same offer yesterday. (In my case, it would net me 13 weeks of severance, 5 weeks vacation payout, $15K in cash.) The decision has to be made pretty quickly - by mid-February - which for most people would not be time enough to have something else in the pipeline. If I were a risk-taker, I'd consider taking the money ($48K) and leaving. But I'm not, and I have a big mortgage. I'd hate to still be unemployed when that money ran out. The one time in my life that I got laid off, it took me almost six months to find a new job, and I was sweating it. (and my mortgage was much smaller then.)

[Anonymous]

Anonymous wrote:I'm wondering if the OP works for my nonprofit organization, since I received the same offer yesterday. (In my case, it would net me 13 weeks of severance, 5 weeks vacation payout, $15K in cash.) The decision has to be made pretty quickly - by mid-February - which for most people would not be time enough to have something else in the pipeline. If I were a risk-taker, I'd consider taking the money ($48K) and leaving. But I'm not, and I have a big mortgage. I'd hate to still be unemployed when that money ran out. The one time in my life that I got laid off, it took me almost six months to find a new job, and I was sweating it. (and my mortgage was much smaller then.)

You would really pass up $48k! Definitely seems like enough to get through at least 6 months. Jobs can't possibly be that hard to come by for a professional

[Anonymous]

Anonymous wrote:

Anonymous wrote:I'm wondering if the OP works for my nonprofit organization, since I received the same offer yesterday. (In my case, it would net me 13 weeks of severance, 5 weeks vacation payout, $15K in cash.) The decision has to be made pretty quickly - by mid-February - which for most people would not be time enough to have something else in the pipeline. If I were a risk-taker, I'd consider taking the money ($48K) and leaving. But I'm not, and I have a big mortgage. I'd hate to still be unemployed when that money ran out. The one time in my life that I got laid off, it took me almost six months to find a new job, and I was sweating it. (and my mortgage was much smaller then.)

You would really pass up $48k! Definitely seems like enough to get through at least 6 months. Jobs can't possibly be that hard to come by for a professional

I help people with job search and right now I tell everyone at least 6-8 months to find something. The more senior/ professional, the more money and more people involved in the decision. It absolutely is hard. You will eventually find something but the competition is great and it takes a lot of persistence.

[Anonymous]

OP, I ended up taking the buy-out from my company. Long story short, they ended up calling me back after a couple of months (I was already pretty far into the interviewing process) and offered me a better job, $50k more per year, plus other perks.

I'd take the money, but I was very comfortable with doing a job search and confident in my abilities to find something else.

[Anonymous]

Anonymous wrote:OP, I ended up taking the buy-out from my company. Long story short, they ended up calling me back after a couple of months (I was already pretty far into the interviewing process) and offered me a better job, $50k more per year, plus other perks.

I'd take the money, but I was very comfortable with doing a job search and confident in my abilities to find something else.

This!

[Anonymous]

I would also consider that you may get laid off later anyway. Regardless of whether you take the offer, you need to look NOW. Search actively for a job.

For what it is worth, I worked on wall street during the crisis when everyone was getting laid off or seemed to be. The first severance packages they offered were the best. Later on some people receives nothing.

I would see this offer as writing on the wall. There is a good chance your job wont be around much longer. If they really valued you or your position, they wouldn't fire you.

The 20k should net 10k at least after taxes. There is also unemployment insurance for after the five months concludes. Figure out how many months that 10k (plus 1k a month unemoloyment) will last you.

Also consider you may be able to find a higher paying job.

[Anonymous]

I would recommend to OP to remain at company, and, work, AND look. The job market is massively different than it was 15 years ago...I don't care what industry you are in. And, IMO, $48K is peanuts. If that is your severance after 15 years, KEEP YOUR JOB. I agree w another poster; it may NOT be the last re-org. Start looking, and, get cracking on your resume and networking skills and contacts.

[Anonymous]

Anonymous wrote:I would also consider that you may get laid off later anyway. Regardless of whether you take the offer, you need to look NOW. Search actively for a job.

For what it is worth, I worked on wall street during the crisis when everyone was getting laid off or seemed to be. The first severance packages they offered were the best. Later on some people receives nothing.

I would see this offer as writing on the wall. There is a good chance your job wont be around much longer. If they really valued you or your position, they wouldn't fire you.

The 20k should net 10k at least after taxes. There is also unemployment insurance for after the five months concludes. Figure out how many months that 10k (plus 1k a month unemoloyment) will last you.

Also consider you may be able to find a higher paying job.

Depends on the conditions of severance and state rules. In MD for example - based on facts given - OP probably will get UI right away.

[Anonymous]

16:26 here - If I walked with $48K, it would get heavily taxed. Then I'd have to stretch that to cover my mortgage and all of my bills for however long I was unemployed, because unemployment might not cover a voluntary separation. At my level, it could be 6 months - it was 6 months last time I got laid off. And during that layoff, my mortgage was $1100/mo vs. the current $2500/mo.

Also, frankly, it's easier to get a new job when you already have one. Employers like hiring people who are already employed by other people.

What matters too? If you have a spouse who pulls down a good income. I'm single, so I'm the only income in my house. A person with a well-paid husband might be able to take the buyout - the risk would be less.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I would also consider that you may get laid off later anyway. Regardless of whether you take the offer, you need to look NOW. Search actively for a job.

For what it is worth, I worked on wall street during the crisis when everyone was getting laid off or seemed to be. The first severance packages they offered were the best. Later on some people receives nothing.

I would see this offer as writing on the wall. There is a good chance your job wont be around much longer. If they really valued you or your position, they wouldn't fire you.

The 20k should net 10k at least after taxes. There is also unemployment insurance for after the five months concludes. Figure out how many months that 10k (plus 1k a month unemoloyment) will last you.

Also consider you may be able to find a higher paying job.

Depends on the conditions of severance and state rules. In MD for example - based on facts given - OP probably will get UI right away.

Not in md. You won't qualify for Unemployment until after your severance is gone. I went through this last year. You can't double dip.