Should I tell the company I'm interviewing with I've been laid off

Question

I was working for company A when I submitted a resume to company B last week. Company B just spoke with me and decided to bring me in for an interview next week.

However, company A just laid off 75% of our office, including me. I know company B will ask what I'm currently doing for company A.

Should I come clean that I was just laid off with 75% of the office or since the layoff occurred so recently, that I should play it off and answer as if I were still employed there.

Thanks for your advice.

Answer 1

Let's make this simple.

Pros to Being Unemployed:

• Company knows you can start immediately
• Company knows that you will be applying to other jobs (there will be more competition for your services)

Cons to Being Unemployed:

• Company may try to lowball you on salary assuming you're desperate

Pros to Being Honest:

• Company may know and not appreciate dishonesty
• Gives you a chance to frame the layoff in a positive light/redirect the conversation on your terms

Cons to Being Honest:

• Company may try to lowball you on salary assuming you're desperate

Suggested Course of Action

Assume the company already knows (it's a small world after all). Unless your company is 4 people in a different industry separated by a large geographical distance, there is a good chance they already know about it. Companies laying off 75% of their work force tend to create a blip on the radar (or at least the local news).

Prepare a nice way to broach the subject. If you assume they'll ask you what you're currently doing, just prepare an answer like, "I want to work with you guys on A, B, and C because of my experience with X, Y, and Z. Unfortunately, my current company laid off the majority of my office/business unit including me. This just gives me more incentive to show you how good of a fit I can be for your team."

The wording isn't so important, so long as the main points are:

1. I am not just applying here because I knew I'd be laid off
2. My skills are still relevant to your company
3. Let's discuss how I can fit in here rather than focusing on a job that no longer matters

Personally I'd just get it out of the way ASAP and clear the air. Focus on what's important. Unless the company is malicious, they probably won't lowball you on salary (and would you want to work for a company that did that anyway?).

Answer 2

Yes. It should not be an issue specially since you have been a victim of a mass-layoff. I would send in an updated CV or just tell them verbally (in case you are talking to them directly anyhow) about the situation.

If not, you are gambling:

• You tell them: It is unlikely that they will not hire you just because you got laid off right now. You never gave them any wrong information. The fact that you are laid off makes it rather better for them since you can join them without waiting for a notice period etc. I do see hardly any reason why they should not hire you right now for this reason of being laid off.
• You do not tell them: There is a chance that they hear about the layoffs. If they realize that you did not tell them about it, they might consider you as someone who hides facts for his own advantage. This would be a very strong reason not to hire you.

I would try to turn the situation in your favor and write a note to them in the following tone:

"In the spirit of being open and transparent, and to proactively provide you with the latest development, I would like to inform you that there has been a mass-layoff at my current employer [*] which also affected myself. This means that I would be available for additional interviews from [layoff-date] onwards and also of course to start working for you from the same day on, should you decide to hire me."

[*] You can add the reason here if you think that is public information, such as a merger etc

Answer 3

"Your present employment status," or lack thereof, is really something that an interviewer should have been trained not to ask.   American law is filled with various "anti-discrimination" provisos, and the interview process is the #1 place where charges of discrimination might arise. ("Promotions" are #2.) The interviewer ought not inquire.

You are not obligated to say that you are laid-off, but, at the same time, there is no stigma attached to it, either. I've been laid-off many, many times over these many years.

Answer 4

Has the company which laid you off already paid your dues and given you your relieving letter? Usually, when companies let go off people they do give sufficient notice and tell them to look out for a job within that period. Once the period expires, then you're supposed to go and collect the relieving letter.

If company A(the company which laid you off) did not give the relieving letter:

• Assuming you get selected in company B: tell the new company that you'll be relieved of your duties by the time the period with company A expires. Tell them that you'll join a week after that.
• Try for a few more interviews and tell them the same thing - if you're selected. Better to have more than one offer in hand.
• Then merrily collect your relieving letter from company A on the appointed date. -Pick and choose which company you want to join.

However, if Company A has given you the relieving letter: Then there's no sense in altering the facts. Tell them the truth as everything can be cross verified these days. This should not be much of a problem, especially if you have a good track record. It's fairly common these days to get laid off. I don't see why this should be a problem if it was the company's fault.

Answer 5

Do not volunteer this fact.

If they ask, "When are you available to start?", use your discretion. On the one hand, you could say, "Immediately." But I think it would be best to remain calm, and act as if you're still employed and you'll need two weeks past the day of the offer letter. If you receive an offer, you could certainly reveal more, and say something to the effect of, "Things have actually slowed down in the past few days and I may be available even sooner if it would be best for the company."

Note: I'm not necessarily encouraging you to lie. After all, they may ask, "Why are you looking for a new job?" And if they do, you will need to give an answer. At this time, you may say something to the effect of, "My current employer is experiencing financial hardship." And if you eventually do receive an offer, the HR department may ask about your employment history. If they do, then I recommend complete honesty because they can verify these dates with your former employer(s).

But I am advising you to be less than forthcoming about the fact that your employment status changed after you applied for the job. If they know this, then it may compromise your competitive standing. They may (perhaps erroneously) assume that you were laid off because of poor performance. Or they may use this fact to their advantage when negotiating a wage/salary.

So to summarize, if you are asked for dates of employment: Tell the complete, unvarnished truth. But in light of the fact that you were laid off after you applied for this job, I see no reason to volunteer this fact.