Layoffs and AI

Sefism.

A to Z

Glossary

Every concept in this sheet, plus the smaller terms it uses. Select a concept to open its card.

A
Adjacent skills
Growing skills that sit next to what you already know, such as AI features for a backend developer or data pipelines for an analyst.
AI adoption at work
Using AI tools in your daily work as a normal part of how you build, test and review.
AI-washing
Naming AI as the reason for layoffs that are mainly about cost, over-hiring or weak sales, because it sounds better to investors.
B
Brag document
A running list of what you did, why it mattered and the evidence, updated every week.
Bridge work
Short contract or freelance work taken during a long search to pay bills and keep skills current.
Building with AI
Engineering that puts models into products: model calls, retrieval over company data, agents that call tools, and the cost, security and reliability around them.
C
Checking a company's stability
Researching whether the next employer is likely to cut soon: results, funding, recent layoffs and how close your team is to revenue.
Collective consultation
In the UK and EU, a required period of consultation with employee representatives before large redundancies.
Company AI policy
Your employer's rules on which AI tools you may use and what data may go into them.
Company warning signs
Signals that often come before cuts: missed results, a failed funding round, new leaders brought in to simplify, reorganisations, cancelled projects and talk of efficiency.
Cost centre and profit centre
A profit centre earns money, such as a product customers pay for.
Cutting staff to fund AI
Reducing headcount in some areas to pay for heavy spending on AI data centres, chips and teams.
D
Deskilling
Losing a skill because a tool always does it for you.
Domain knowledge
Understanding the business your code serves: how money flows, what customers need and which rules apply.
Doomscrolling
Reading bad news for long periods, often on social media, without acting on any of it.
E
Emergency fund
Savings kept only for a loss of income or a real emergency, in an account you can reach within days.
Evals
Tests that check whether an AI feature gives good answers, using a set of example inputs and a way to score the outputs.
Evidence on AI productivity
Studies that measure how much AI tools really change developer speed, as opposed to how fast people feel.
Experience and relieving letters
Letters common in Pakistan and India confirming your dates, title and that you have been released from your duties.
Exposure audit
An honest score of your role on four things: how close your work is to revenue, how much of your week AI can do, how replaceable you are, and whether your impact is written down.
F
Final settlement
Everything owed when you leave apart from severance: salary to the last day, notice pay, unused leave where paid out, earned bonus and expenses.
Fixed costs
Bills that arrive whether you earn or not: rent, instalments, loans, subscriptions.
Flattening
Removing layers of management so each manager has more reports, and some managers become individual contributors again.
G
Global capability centre
A company's own office in another country, often India, that does engineering, operations or support for the global business.
Gratuity and provident fund
In Pakistan and India, a lump sum based on years of service, and a retirement fund built from employee and employer contributions.
H
Hiring freeze
A stop on hiring, often including backfills, which means people who leave are not replaced.
How layoff lists are made
Most layoffs go from a cost target, to products, teams and locations, and only then to individual people, using reviews, cost and skills.
J
Job scams
Fake job offers that try to take money or personal data, often aimed at people who have just been laid off.
Job search pipeline
A tracker of every opportunity and its stage: researched, applied, referred, recruiter call, interviews, offer.
Judgement skills
Skills that decide whether code and designs are right: critical review, debugging across systems, performance reasoning and choosing what not to build.
L
Layoff rumours
Unconfirmed talk of cuts, in anonymous forums, group chats or the office.
Layoff trackers
Sites and reports that count announced layoffs, such as layoffs.fyi for tech companies and Challenger, Gray and Christmas for all US employers.
Learning system
A small, regular routine for learning: daily use, a weekly read, a monthly experiment, a quarterly deeper project.
M
Master CV
A long version of your CV with every achievement, kept current, from which you cut a short version for each application.
N
Non-compete and non-solicit
Terms that limit working for competitors, approaching clients or colleagues, or criticising the company after you leave.
O
Open to Work
A LinkedIn setting that tells recruiters, or everyone, that you are looking, with an optional green photo frame.
Option exercise window
The time you have after leaving to buy vested stock options, often 90 days.
Outcomes over tickets
Taking responsibility for the result the business wanted, such as fewer failed payments, not just closing the ticket that asked for a change.
Outside work clause
Contract terms that limit work outside your job or give your employer ownership of what you build.
P
Performance improvement plan
A formal document listing what must improve, by when and how it will be measured.
Performance signals
The signs of how your work is rated: the kind of work you are given, how specific feedback is, whether you are included in planning.
Personal employment documents
Documents about you, not the company: contract, offer letter, payslips, appraisal and promotion letters, equity grants, tax and visa papers.
Portable proof of work
Evidence of your skills that lives outside your employer: public projects, talks, write-ups, open source contributions.
Proof of AI skill
Evidence that you use AI well: a measured improvement at work, a shared setup, or a small project with an honest evaluation.
R
Reference
A person, usually a former manager or senior colleague, who confirms your work to a future employer.
Referral
An employee recommending you for a role at their company, usually through an internal system.
Release of claims
A clause in a severance agreement where you give up the right to bring legal claims against the employer.
Reputation
What colleagues say about you when you are not there, often one sentence such as "always delivers" or "hard to work with".
Revenue-critical work
Work that earns money, keeps paying customers happy, or is required by law, such as billing, the core product, security and compliance.
Runway
How many months you can keep going on your savings and other money before it runs out.
S
Search routine
Fixed working hours for the search, plus sleep, exercise, time off and people to talk to.
Second income stream
A small extra income from freelancing, a product, teaching or content, alongside your job.
Severance
Money an employer pays when it ends your job, often in exchange for signing an agreement.
Skill gap
The skills that job ads for your target role ask for most often and that you cannot yet prove.
Skip-level meeting
A one-on-one with your manager's manager, often once a quarter.
Soft layoff
Pushing people to leave without a formal layoff, for example through strict return-to-office rules, forced relocation or harsher reviews.
Standing Orders (Pakistan)
Pakistan's main employment rules for covered workers: written termination, one month's notice or pay instead for permanent staff, gratuity, and last in, first out within a category.
Substitute versus complement
AI substitutes for work when it can do the task instead of a person; it complements work when it makes a person faster or better at a task that still needs them.
T
T-shaped engineer
An engineer with deep skill in one area and working knowledge of several around it.
Task exposure
How much of a job is made of tasks that AI tools can already do well, such as boilerplate code, first drafts of tests and simple fixes.
Team and personal signals
Quieter signs closer to you: a project losing its sponsor, a vague roadmap, work moved elsewhere, being left out of planning, or sudden requests for handover notes.
The bench
At services companies, the time an employee spends between client projects, still paid but not billed to a client.
The junior squeeze
The drop in hiring of early-career engineers since 2022, linked in research to AI doing more entry-level tasks.
The layoff meeting
The short meeting, often with HR, where you are told your job is ending.
U
Unemployment benefits
Government payments to people who lost their job, available in the US, UK and much of Europe under conditions.
V
Visa grace period
The limited time a work visa holder has after a job ends to find a new sponsor, change status or leave.
Visible impact
Impact that is written down where decision makers can find it: updates, write-ups, review notes and names on launches.
W
Warm network
People you have stayed in touch with and who would answer your message, as opposed to connections you never speak to.
WARN Act
A US law requiring employers with 100 or more employees to give 60 days' written notice of a plant closing or mass layoff.
Y
Yearly market check
Doing a real or practice interview and checking pay data once a year, even when you are not looking.
Your layoff story
Two calm, factual sentences explaining the layoff, followed by what you did next and what you want.
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