Difference between laid off vs terminated
Lay off, Termination, Dismissal- I have heard these words multiple times, but I don’t know how each one is different from the other. Can anyone on this platform please help? Also, which is worse- getting laid off or getting terminated?
Laidoff - The company forcefully fire you and a lot others because of less revenue, not meeting investor promises or if company is about to go bankrupt. They will pay severence and will fire you right away.
Termination - You are fired for some other reasons like bad performance or some misconduct with the organisation. There won't be any severence here. You are just fired and given the last month's pay.
But in 2024 companies layoff people while being profitable so they can bag more money for their investors and keep them happy. Some companies force terminate you instead of layoff just so to avoid paying severence package. So we never know.
Many people use termination and layoffs as synonyms but these are not the same. A layoff means the company is reducing the workforce due to financial issues, restructuring or any other reasons. A person is mostly laid off when the company hits rock bottom or it suffers from loss. But, termination or firing means that the company has decided to let you go, mainly due to your performance issues or if you have violated any company policy. Basically, when you’re laid off, it’s on the company and when you face termination, it’s on you.