How Should You Handle a Furlough?

One of the realities of cost cutting in this recession is the furlough. Indeed, the furlough is being used as the “weapon of choice” for cost savings, rather than pay cuts or firings. Well, I guess when you get right down to it, a furlough really is a pay cut of sorts.

A furlough is forced, unpaid time off. Some companies are forcing workers to take one day a week off, without pay. Others are requiring that workers take a week’s worth of unpaid vacation during a quarter.

There are other set-ups for furloughs, depending on where you work. A furlough can be frustrating, and it is likely that it will affect your household budget. Here are some things you can do to help mitigate some of the financial effects of a furlough:

1. If you can, try to take your furlough requirements in bunches. If you group your days off together, it can help you qualify for unemployment benefits. Grouping the days can also help you plan to reduce childcare costs.
2. Take the time to build secondary sources of income. If possible, you can freelance or set up a Web site or do some consulting.
3. Improve your skills. Boost your marketability by attending classes or renewing certifications. This can help you remain desirable as a worker (less chance of being laid off) or even help you find a new job.

You can also use time on furlough to update your resume, network and even look for a new job if you are concerned about your current job. And, of course, you could always spend some more quality time with your family. After all, money can’t buy the memories.

Image: sxc.hu