Maybe you've seen the movie The Full Monty, where one character, recently laid off, continues to leave his house in his work clothes so that his wife doesn't know he's out of work. He also buys her a tanning bed. Well, a new trend Gawker is calling
"Funemployment" is basically the real-life equivalent, when out-of-work people maintain their old lifestyles using their severance packages, which—for many of them—are about to run out.
The Wall Street Journal has a more in-depth
article on the subject, focusing on one man who lost his $200,000-salaried job, but his family continued to enjoy its previous lifestyle (vacations, private school, steaks) with the help of his $200,000 severance package and about $100,000 in savings. This man even
turned down a couple job offers, in part because he was dissatisfied with their salaries. He's since cut the family spending and expanded his job search to include lower-paying and seasonal jobs.
Although severance packages are intended to help cushion former employees as they search for new work, the Journal warns that they might be too cushy, and can make the recently unemployed feel like they can spend as before.
Are you surprised to see a negative side to severance packages? Are their any luxuries in your lifestyle you'd have a hard time giving up?
Comments (10)
It always amazes me that the people who make money fast and easily are always the ones who never quite know how to manage it.
Cushy? That's "rich", did some CEO draft up this article?
holy crap, $200k severance and $100k saved. jebus i wish i ran into money like that. i probably couldn't let go of driving. thats one luxury that's worth every penny.. lol
I saw the wall street article - that guy was clearly "clueless" about financial management. That money should have lasted him several years.
Is that really a downside to severence? Or is that a downside to people's own stupidity? I wish I had recieved a severence when I lost my job! I was happy to get the check for my unused vacation!
I was laid off on 10/30 with a month's pay and all my vacation time. A BIG downside to my severance was I was in a total panic that it was the only decent money I would see for a long time so I quickly paid ALL my bills and watched it wither away fast. Unemployment is NEVER FUN I don't care how you spin it, its a very stressful, worrisome time where the uncertainty keeps you laying awake in bed at night wondering if you will be able to pay rent next month.
Unemployment is not fun. I don't know who wrote this article, but I never got any severance when I lost mine. only two weeks pay.
@Mal_P@xanga - That is severance.
I would have a difficult time giving up Netflix / my internet services. I consider them pretty essential, but I know I could probably live without them if I had to. (I just wouldn't like it)
Also - what kind of idiot do you have to be to turn down a job in this economy?? ESPECIALLY when you have a family to support????
Who would turn down a job offer?? O_O $200k would last a pretty long time if you can use it wisely!