The Trump administration’s firing and furloughing of tens of thousands of federal workers and contractors have obviously caused economic hardship for Americans employed in national parks, research labs and dozens of government agencies.
As a professor of social work who studies how people’s finances affect their physical and mental well-being, I’m concerned about the health hazards they’ll face, too.
Losing your job can seriously harm your physical and mental health.
When people lose their jobs, they do have real problems. Typically, for example, their income and savings decline. However, research shows that your perspective regarding your financial situation can do more harm to your health than your actual financial circumstances.
Someone might view losing their job as a temporary setback and remain relatively calm, while another person might experience the same circumstances as a disaster, triggering intense stress that cascades into serious health problems, such as depression.
In a study I published in 2023 with social work scholar Theda Rose, we found that how a person felt about a decline in income mattered 20 times more than the financial change itself.
This finding comes from our analysis of data from the 2018 National Financial Capability Study, which surveyed more than 27,000 American adults. We used advanced statistical methods to examine how different financial factors affected people’s health and financial decision-making.
The study confirmed earlier work about the vastly different psychological and physical responses two people can have when their income falls by the same amount, based on how they perceive this change.
We found that “financial precarity” can influence health and behavior. Among the variables, a decline in income surprisingly contributed much more in terms of worry than just not being able to pay the bills.
This distress caused by economic hardship isn’t just a psychological problem – it can produce physical changes that may have long-term health implications.
There’s also a toll on your mental health. Interestingly, people who face ongoing financial challenges but don’t get stressed about their situation aren’t more likely to develop depression symptoms than people without any financial stress.
A systematic review of 65 studies found clear connections between debt and mental health problems, depression and even suicide attempts.
And the stress from financial worries can affect people’s bodies directly – for example, by increasing blood pressure. Also, when money is tight, people often try to save money by skipping doctor visits or forgoing prescription drugs. When choosing between paying for rent, food and health care, people often put their medical needs last.
Some people turn to alcohol, tobacco or other substances to cope with the loss of their jobs. Others turn to gambling or excessive shopping to cope. Marriage and other relationships may fray amid financial stress.
To be sure, some people become more resilient after losing their job by adopting positive coping strategies.
Whenever you lose a job, try reaching out. Your friends and loved ones can help protect your health while you move on.
In addition to applying for new positions, spend time networking. Reach out to former colleagues, join professional groups and attend events related to your career.
Try to volunteer. It will help you sharpen or expand your skills while expanding your networks and perhaps lead you to a new job.
And consider starting or expanding a side hustle. It will generate some income, give you a greater sense of control over your life and keep you feeling productive.
It’s also essential to stick to self-care basics: Regular exercise reduces stress hormones. Getting enough sleep improves cognitive function, and maintaining a busy social life provides emotional support.
Jeffrey Anvari-Clark is an assistant professor of social work at the University of North Dakota. Distributed by The Conversation and The Associated Press.
