Transitions in work memberships, relationships, and roles can result in work-related identity loss. This paper contributes to a growing body of research that examines identity transitions by providing a dynamic model to explain these identity losses. Our model incorporates principles from identity research and grief research to predict how employees will react to the loss of a work-related identity. The transition period is conceptualized as a period of liminality, during which individuals engage in sensemaking and emotion regulation to determine who they were and who they are becoming. Specifically, the process involves cognitive and emotion processing in two domains—loss orientation and restoration orientation. We propose that emotions experienced (and their associated regulatory foci) are critical to determining whether individuals experience adaptive or maladaptive identity-related outcomes.