what does laid off mean?

English Grammar Tests, Elementary Level

ESL/EFL Test #185 [color=blue]“Verb Tense Practice (2)”, question 7

He a lot last year. However, he was recently laid-off and is, currently, looking for a new job.

(a) work
(b) works
(c) worked
(d) working

English Grammar Tests, Elementary Level

ESL/EFL Test #185 [color=blue]“Verb Tense Practice (2)”, answer 7

He worked a lot last year. However, he was recently laid-off and is, currently, looking for a new job.

Correct answer: (c) worked
[size=200]_________________________[/size]

Does laid-off mean Boss fiered her and she is looking for a new job.

To be laid off is not the same as to be fired, though in both cases you lose your job.
If you’re fired, you have probably screwed up big time which miffed your boss and he kicked you out.
If you’re laid off, this somehow softens the blow because it ostensibly has nothing to do with your performance but rather with, for instance, a lack of funds within the company (they can’t affort to pay you your salary anymore so they are compelled by the circumstances to let you go).

By the way, do you know Donald Trump’s catch phrase? It’s “you’re fired” said in a very angry voice! Which is a synonym of “you’re worthless”. “You’re laid off” will never work in this context.