Navigating a tough job market

Rising unemployment and fewer benefits—that’s just a small part of what employees can expect down the road. Here are tips on how you can hold onto your job and navigate those tough choices ahead.

1) Evaluate your options

Chrysler is the latest company to announce that it’s cutting 25 percent of its workforce and offering buyouts to its salaried workers. Here’s what you need to know before you accept a buyout: First, keep in mind that the goodies you’ll get to retire early probably won’t offset the drawbacks of spending fewer years at the office. But if your job at the company is in jeopardy, then it may be worth your while to accept the buyout. The risk is that if you don’t take it now, the option may not be there down the road.

2) Watch the 401(k) match

General Motors announced that it’s going to be suspending its 401(k) match for employees. This isn’t a new concept. The company also cut its match in 2005. And other companies like Charles Schwab, BF Goodrich and Goodyear also cut their matches in 2003. Bottom line here, if this happens to you—keep contributing to your 401(k), but you may want to start polishing up your resume. That’s a clear sign that your company is in serious trouble.

3) Be prepared

Keep your ears open regarding possible layoffs. Rumors often circulate around a company before layoffs occur. And while you’re at it keep up with industry news by reading newspapers, journals, and trade publications. This way, you’ll be ahead of the game. And you want to become more visible. Volunteer for projects. Do any inter-departmental cross-training you can. It will be hard to let you go if you do an essential chore. And don’t forget to maintain your contacts. Make it a point to set aside some time each day to reach out to colleagues in the field.

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