According to The Economic Times, nearly 4.1 million Indian youths lost their jobs due to the pandemic.
While getting back on track may seem challenging, focusing your energy on securing a new job is crucial.
Recruiters will often ask why you were laid off, especially if there is a visible employment gap in your resume. Such queries fall under behavioral interview questions, and it is essential to be well-prepared.
Let’s dive in.
Difference Between Being Laid Off and Getting Fired
Before answering this question, you must understand the difference between being laid off and getting fired:
- Getting fired: This happens due to misconduct, performance issues, or violation of company policies.
- Being laid off: This occurs when a company downsized, restructured, or faced financial difficulties—and has nothing to do with an employee’s performance.
Understanding this distinction will help you frame your answer appropriately.
How to Answer “Why Were You Laid Off?”
Now that the concept is clear, here’s how you should answer this behavioral interview question.
1. Be Honest
Industry news is rarely hidden, and lying about a layoff is not a wise decision.
Instead, clearly explain that your employment gap was due to a company-wide downsizing.
Avoid lying if you were actually fired — it will eventually come out during a background check.
2. Address the Topic Proactively
There are two approaches to handling this question:
✔ Wait for the recruiter to ask about it.
✔ Address it yourself early in the conversation.
Most candidates wait for the recruiter to bring it up, but you can also take the initiative.
This approach helps you ease interview tension and lets the conversation flow smoothly.
3. Answer in a Positive Tone
It’s normal to feel frustrated after being laid off, but expressing negativity will only hurt your chances.
Best practice: Avoid badmouthing your previous employer and instead maintain a professional, optimistic tone.
✔ Example Answer:
“The COVID-19 pandemic impacted many businesses, including ABC Company. Due to financial losses, the company had to lay off 30% of its workforce, and unfortunately, I was among them. While it was a challenging time, I respect their decision and am now looking forward to contributing to your esteemed organization.”
4. Quantify the Layoff
One smart way to answer this question is by providing data about the layoffs.
By mentioning the number or percentage of employees affected, you shift the focus away from yourself.
✔ Example Answer:
“My previous company, ABC, had to cut costs due to financial constraints caused by the pandemic. As a result, they laid off around 30% of employees across various departments, and I was one of them.”
This response neutralizes the question and shows that the layoff was not performance-related.
5. Keep It Concise
Interviews are about selling your strengths—not dwelling on setbacks.
✔ Answer honestly, but don’t dwell on the layoff.
✔ Provide a short and crisp response and steer the conversation toward your skills and experience.
Don’t over-explain unless the recruiter asks for more details.
6. Highlight Your Value
At the end of the day, recruiters want to know what you bring to the table.
Shift the conversation towards your strengths and showcase how you can add value to the company.
✔ Example Answer:
“While the layoff was unfortunate, it gave me the opportunity to upskill and enhance my expertise in marketing. With my strong analytical skills and experience in campaign management, I am confident in my ability to drive results for your organization.”
This answer reassures the recruiter that you are proactive, adaptable, and ready to contribute.
How to Address a Layoff in Your Resume & Cover Letter
Many candidates wonder whether they should mention the layoff in their resume or cover letter.
Here’s how to handle it:
1. Do Not Mention It in Your Resume
A resume is meant to highlight your achievements.
Avoid mentioning the layoff directly—instead, let your experience and skills speak for themselves.
2. Briefly Mention It in Your Cover Letter
Your cover letter can acknowledge the layoff in a single sentence.
✔ Example Statement:
“Due to company-wide layoffs at ABC Company, my position was impacted. However, my track record of success remains strong, and I am eager to bring my expertise to your team.”
3. Never Mislead or Lie
✔ Be truthful about your employment history.
✔ Do not manipulate dates or falsely claim you resigned.
✔ Maintain a positive tone while addressing the layoff.
What to Do During a Layoff Period
Instead of dwelling on job loss, use the time to build your career.
Here are key steps to improve your chances of landing a new job:
1. Upskill with Online Courses
✔ Enhance your skills through platforms like Udemy, Coursera, and Unacademy.
✔ Learning new skills can boost your resume and help you stand out.
Read more: The Importance of Skill Development in Career Growth
2. Add References to Your Resume
A reliable reference can increase your credibility.
✔ Reach out to previous managers, senior colleagues, or industry experts to serve as professional references.
Read more: How to Add References to a Resume
3. Network Effectively
✔ Leverage professional connections to learn about job openings.
✔ Stay connected with colleagues, recruiters, and industry professionals for referrals.
4. Showcase Your Best Work
✔ Use your layoff period to update your portfolio or resume with key achievements.
✔ Highlight projects that demonstrate your expertise and problem-solving skills.
Losing a job can be challenging, but it is not the end of your career.
By answering the layoff question honestly, keeping a positive tone, and highlighting your value, you can turn the situation into an opportunity.
The key is to stay proactive, upskill, and present yourself as a strong candidate.
Good luck!
