After the parents first loses their job, they are going to just be sitting at home, probably thinking about what they can do now. For some parents that might be an excellent time to actually get to know their kids and spend time with them. For others they might just become depressed right away and feel worthless about their life. Especially if the parent is a male. The father isnt like the mother who can cry and get things out of her system. For a male losing their job, especially one that provided most of the income for their home and lifestyle can really cause stress on their life and with the father feeling depressed, the mother soon would be too, feeling sorry for him and stressing out over the money.
The impact on children is even bigger than the impact on the parents. The child or children are oblivious to money at this point, they think their parents can do and get anything they want. Its not going to go over well with a child if he cant continue going to the same events hes always gone to if the parents cant afford them. If the child is older he might understand. The parent losing the job can also cause a loss of security for the children. If the parents are losing their house, the child is going to be scared and feel like he/she cant survive.
Also a major effect of parents losing their job is the money worries. Their child can no longer get any new gifts. No new clothes, and in dramatic circumstances maybe not even a meal for the night. It does come to that in some places, while others it could just be for a little while that their life is changing.
Money could also cause parents to have to uproot their children from their home and move them somewhere else for a job. Which would upset the childrens lifestyle and they would lose their friends, which could cause them to go into a depressive state. Also causing them to move could cost them more money, which would put them into a debt.
Overall a parent losing their job is really bad. Depression could be the worst effect that the parents have to go through, unless that parent gets too depressed than, suicide might be the next effect that the other parent or child would have to deal with. Causing a change to the childs emotional security could set off a bunch of new problems for the parent. The parent could have to pull the child out of school for being in fights if the child is upset about the loss of money.
It is always good for a parents to try to get a job right away and stay on their feet as to not upset their children or change the balance of their lifestyle. The parents can fix the problem by not getting fired or losing their job, or always keeping a secure saving account that if this were to happen their family would at least be all right until the parent or other parent got a job, that could keep them in the financial status that they were at before.