I have fired people before, but usually they know it is coming, because I have talked to them and let them know if there were problems.
As for taking time off, I think that you need to get your butt out there and get back in the game. You do not have to be in the Rental industry, but if that is where you want to be, if you have a personal contact list, NOT THE COMPANIES, make sure that you take it with you. It could prove invaluable in finding a new job.