Kaleb McAfee of Alexandria, Virginia, had worked in social media and influencer marketing for 10 years. But in July 2025, she was laid off by her employer, Crowe PR.
“There was a general sense within the company that layoffs might be coming due to revenue loss, but I was personally caught off-guard,” McAfee says. “I had been told that I was in a more secure position. When I was laid off, it was a complete shock.”
As the single mother of an 8-year-old daughter, McAfee says she’s gone through a roller coaster of feelings. She describes dealing with the layoff as “drowning while looking at a rainbow.”
“For me, it means living with overwhelming real-world responsibilities while still feeling a quiet sense of optimism. The fear and instability of not having a job in this economy feels like drowning, but there’s also this strange peace that things will be OK eventually,” she explains. “It’s hard and beautiful at the same time.”
McAfee’s emotional experience is not unlike that of the many other people who’ve gone through layoffs recently, thanks to federal cuts, AI and overall belt-tightening. Although layoffs are not exclusive to the Washington, D.C., area, the effects there are notable because of the large number of government workers.
The National Institutes of Health has conducted several studies over the years confirming that unemployment can have a negative effect on both mental and physical health.
“Living and working in the Washington, D.C., area in 2025 has seen many people who defined themselves as a federal government employee, a nonprofit administrator, a government contractor, et cetera, needing to define themselves once they lost their position,” says Mary Oborski, a licensed clinical social worker and a crisis support worker in the Washington, D.C., area and in private practice in northern Virginia. “The question often becomes, ‘Who am I outside of this job?’ Mental health often takes a hit when they have wrapped their whole identity around their work.”
[READ: Burnout vs. Depression: How to Tell the Difference]
Understanding Job Loss Grief: Why It Hurts So Much
Beyond an identity closely tied to one’s work, there are several other reasons why getting laid off can create such mental turmoil:
— Potential financial struggles that can lead to anxiety
— Feelings of social isolation
— Frustration during a job search in a competitive market
— Fear of the unknown in the future
It’s completely normal to grieve the loss of a job just like you may the death of a loved one or the loss of a relationship.
“Losing colleagues, especially close peers at work, can contribute to feelings of loneliness,” says Dr. Matt Glowiak, chief addiction specialist with Recovered.org, a group that provides information and resources for mental health and addiction treatment.
[READ: Mental Health Support Groups: Pros & Cons.]
The 7 Stages of Grief After Job Loss: What to Expect
The stages of grief a person may feel are similar to grief stages from other life events, according to Damian Birkel, founder and executive director of Professionals in Transition Support Group, a nonprofit group in Winston-Salem, North Carolina, that helps those who are unemployed or underemployed to find work.
1. Shock and denial
“As soon as you hear the words, ‘Your position has been eliminated,’ everything else sounds like, ‘Blah, blah, blah’ from there. That’s because you’ve gone into shock and are overwhelmed with disbelief,” Birkel says.
2. Fear and panic
“Fear, panic and indecision are appropriate responses to losing your job,” he explains.
3. Anger
Although anger is natural after a layoff, the most important thing to do is to let it out in a productive way versus letting it fester.
“If you don’t, your body will take the liberty of translating your emotions into physical symptoms,” Birkel says.
4. Bargaining
It’s human nature to “bargain” with yourself and think that a job savior out there is going to swoop in and take away your pain with an ideal opportunity, Birkel says. Unfortunately, that doesn’t happen too often.
5. Depression
“Feeling depressed and abandoned is natural when you consider your routine, status, professional network, workstation, lunch group and even your water cooler buddies have been eliminated from your life,” Birkel says.
6. Temporary acceptance
In the temporary acceptance stage, you begin to take charge of finding your next job. Although the crisis of unemployment is still with you, you have some breathing room.
7. Rejection
The rejection phase happens during a job search, where you may spend hours applying online, and everything you do “seems to disappear into a large black hole,” Birkel says.
[Read: How to Help Someone With Depression: 5 Expert-Backed Steps]
12 Effective Coping Strategies and Tips for Layoff Stress
Despite all the stress and anxiety that can come with a job layoff, there are some steps you can take to manage it.
Remember that the pain won’t last forever. If you were happy prior to losing your job, you’ll be happy again. Nobody loses a job and doesn’t get upset. But when we feel that way, it’s hard to believe the upset will ever go away. It’s important to remind yourself that all difficult situations pass, and eventually you will feel like yourself again.
1. Prepare yourself mentally if you know that a layoff might be coming
Get emotional support from family, friends or coworkers now. Realize that you may have some anticipatory grief.
On a more practical level, start to look at your resume and research the job market. Consider practicing interviews with people you trust if you haven’t done a job interview in a while. Gather examples of your best work and positive performance notes.
2. Communicate with your spouse or partner
If you’re the primary breadwinner, job loss can be particularly distressing and may incite hurtful comments from a worried spouse. (“You knew this was coming.” “You should have thought of doing other things.” “How could you let this happen?” “It’s your fault for not being prepared.”)
Explain your feelings to your partner and make clear your need for support. Be there for your spouse if the situation is reversed.
3. Seek out mental health support in advance of a layoff
“You may have benefits like an Employee Assistance Program, which often gives you three to eight counseling sessions for free. There may be groups in your community or online that help with adjusting to unemployment,” Oborski says.
4. Take a short break once you’re laid off
If it’s financially feasible, take some time off to process what happened, feel some of your initial feelings and mentally refresh. This time off could give you some new perspective on what your next steps should be.
5. Establish a daily routine
Ideally, your post-layoff time shouldn’t be about eating chips while watching daytime soaps at 2 p.m., as tempting as that may be. Have a routine that keeps you busy for several hours a day.
This should include regular time dedicated to job searching as well as developing or maintaining healthy habits like better sleep, regular exercise and healthier eating.
McAfee says that her routine mirrors her working life and includes waking up early, going to the gym and diving into creative hobbies like content creation. This helps her to stay grounded and have a sense of control.
6. Explore financial assistance programs
Research unemployment benefits and other financial assistance programs that may be available to you.
7. Network
Connect with people in your industry, attend networking events and let people know you’re looking for a job.
8. Set small goals each day
Set SMART goals, which stands for Specific, Measurable, Achievable, Relevant and Time-Bound. This may include goals around researching jobs, applying for a certain number of jobs each day or taking concrete steps to manage your finances. These goals will help you feel a sense of accomplishment and motivation.
9. Connect with others
Reach out to friends or family members with whom you may not get the chance to connect with when you’re working full time. Seek out loved ones who will remind you of the strength you’ve used to face other situations.
“Having others recognize my resilience and remind me how inspiring that’s been has made me feel more confident and powerful in the next chapter,” McAfee says.
Also, maintain your other community roles, such as scout leader, volunteer, church committee member or other things that help you to stay connected socially.
10. Have ready responses for those probing into your job situation
“Well-meaning friends and family may feel that it’s appropriate to probe into your job loss. It’s not,” Birkel says. Prepare to protect your self-esteem against curious questioners.
One potential response from Birkel: “I really appreciate your concern, but my full-time job is looking for a full-time job.”
11. Reframe the layoff and re-evaluate what you may need going forward
This may be a chance to start a business, go back to school, enter a new career field or embark on something else new.
“Maybe your stress level was high because of your job,” Oborski says. “Maybe you need more flexibility in your job to accommodate your family’s needs, and this is an opportunity to reshuffle and see what’s out there.”
12. Be patient with yourself
It takes time to adjust to job loss and find a new position. Be kind to yourself and celebrate your progress along the way.
For McAfee, she is giving herself time to rest, build connections and revisit freelance work while applying for full-time roles.
“More than anything, I want to build a life and career that I’m proud of, not one I’m stuck in,” she says.
[Read: How to Relieve Stress and Calm Anxiety]
Practical Steps Checklist to Focus on Immediate Action
| Priority action | Goal | Related section in article |
|---|---|---|
| Immediate (day 1-7) | Processing and stabilizing | Take a short break, communicate with spouse/partner and seek out mental health support (EAP) |
| Mid-Term (week 2-4) | Financial and routine Eetablishment | Explore financial assistance (unemployment), establish a daily routine and set small SMART goals |
| Ongoing (job search) | Networking and reassessment | Network, have ready responses for probing questions, reframe the layoff and re-evaluate career needs |
When to Seek Professional Help for Job Loss Depression and Anxiety
While managing job layoff stress is a big challenge for just about anyone, there are times when you should seek help from a health care provider, such as a mental health professional
or a primary care provider. These include when you:
— Find yourself overusing alcohol or drugs
— Have changes to your appetite or sleep patterns
— Have persistent and new physical symptoms like headaches and stomachaches
— Have trouble keeping up with your daily routine
If your layoff is causing you to consider self-harm or suicide, call or text 988, which is the Suicide and Crisis Lifeline. This free service is available 24 hours a day by phone, text or chat and is available in both English and Spanish.
More from U.S. News
Can GLP-1s Help With Alcohol and Drug Addiction? Research on Cravings & Dopamine
How to Start a Yoga Practice for Depression, According to Experts
Therapy Red Flags: 8 Reasons to Leave Your Therapist
Managing Layoff Stress and Mental Health: Essential Coping Strategies for Job Loss originally appeared on usnews.com
Update 05/13/26: This story was previously published at an earlier date and has been updated with new information.