While there have been some signs of recovery in real estate and the stock market it seems that the job market is still declining. Online advertised vacancies declined by 83,200 to 3,280,000 in October, according to The Conference Board Help-Wanted OnLine Data Series (HWOL)(TM) released November 2. Of course those jobs are only representative of the national job market and don’t include every available job.

The job market varies by region. The south showed job losses in both September and October. However, Texas and Florida were basically flat. The smallest decline was in the Northeast. In the West, California fell by only 3,700 about the same as Arizona with a much smaller population. In the Midwest most of the states declined but Michigan showed a small gain and Wisconsin had no change.

Don’t let a layoff take you by surprise. Keep your eyes and ears open. Slower sales, stretching out payment terms, no rehires, and elimination of perks are all signs that the company may be in trouble, or at least getting ready to reorganize. Getting a new job is easier when you’re currently employed. If you think your name might be on the elimination list get your resume in order and start looking. The downside is that some employers may feel that since you are looking for a new job it’s a sign of disloyalty. Keep the job search quiet.

Some employers offer a severance package based on how long you’ve been with company, others have a standard package, and still others don’t have any severance package at all. You might be able to find out by reading the company handbook. Knowing what, if any, money and benefits will be provided if you are terminated helps planning for the future.

In any economy a cash cushion is a good idea but when the job market is dropping it’s critical. It isn’t easy to save at least three months of living expenses. Some experts recommend six to 12 months of living expenses. It’s tempting to think that by the time that much money has been saved the economy will be rebounding. That may be true. And then again things could get worse.

Setting a goal of say, $15,000 may seem insurmountable. Break the goal into smaller more achievable chunks, perhaps $500 per month. Or look at your total expenses and save a percentage. Most of us waste money even though we don’t intend to. Track all the cash you spend in a small notebook. You may be surprised at the total of all those lunches, gourmet coffees, newspapers, and snacks.

Preparing for the worse, in this case losing your job, isn’t easy, but it pays off in the long run.

Last 5 posts by Dee Power

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• Auto Based Loans for People With Poor Credit - November 18th, 2009
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• Teaching Children What Money is All About - November 4th, 2009