Laid Off vs. Fired

When an Employee is Fired

Employees get fired when they do not deliver satisfactory performance. Workers can also get fired for not complying with organizational ethics and standard. Employees who have been fired are unlikely to be rehired by the same organization. The fact that they have been fired will also affect their job prospects in the future. For one thing, they cannot get a positive reference letter from their ex-employer.

When an Employee is Laid Off

Employees can get laid off for no fault of their own. Layoffs occur when a company faces financial problems. In a bid to cut operational costs, a company may terminate the service of some of its employees. A layoff may be temporary. When the company’s financial condition improves, it may rehire those laid off employees. Laid off employees may also receive other benefits provided by the employer. In other words, getting laid off is far better than getting fired.