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Home | Layoffs

Layoffs (Reductions in Force)

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WARN Act: Workers Must Receive 60 Days' Notice--Even If They Quit Before the Impending Shutdown
April 2011
Employers undergoing dramatic changes like plant closings, major layoffs, or relocations have a lot to deal with--including the requirement that they provide 60 days' notice to affected employees. The notice laws provide some exceptions, but a recent ruling by the Ninth Circuit Court of Appeals, which covers California, suggests that when in doubt, it's best to err on the side of giving notice. . . . more
Featured Resource: Checklist for WARN Act Notices
April 2011
If you're closing or relocating a plant, or doing a group layoff, you must provide written notice to employees that complies with both the state and federal WARN Act requirements. You can use the checklist below to make sure you give the right information to the right parties. . . . more
New email option available for WARN notices
January 2011
Employers now have the option of submitting Worker Adjustment and Retraining Notification (WARN) Act notices to the Employment Development Department (EDD) via email. You can send your WARN notices to . . . more
Terminations: One Company's Costly Ball Drop; How to Keep Your RIF Decisions from Appearing Biased
November 2009
No employer enjoys having to decide which employees to lay off when a reduction in force (RIF) becomes necessary, especially because employers must be careful to make sure that RIF decisions are unbiased. Although pre-layoff performance evaluation programs can help with the process, these can create the appearance of bias if they're not carefully administered and monitored--as one employer recently learned the hard way. . . . more
Layoffs, Part 3: Avoiding the Appearance of Bias When Laying Off Workers; Pre-Layoff Self-Audit Checklist
May 2009
No employer likes to let good employees go, and decisions about whom to lay off can be very stressful for managers and Human Resources--not to mention employees. Although it's of course important to avoid illegal bias in making these decisions, it's equally important to avoid the appearance of bias. Even if you were scrupulously fair, if your laid-off employees don't see it that way, you could still find yourself defending a costly lawsuit. Here, in the third and final installment of our layoffs series, we explain how to keep yourself out of this kind of trouble. . . . more
Sample Policy: Layoffs
Updated February 2012
Sample Policy: Layoffs At times, it may be necessary for XYZ Inc. to reduce the size of its workforce due to internal or external financial factors or as required to best manage the business. In the event of layoffs, . . . more
Layoffs, Part 2: Understanding California's 'Baby' WARN Act
April 2009
It's every employer's nightmare--revenues are down, costs are high, and laying off just a handful of employees won't do the trick. Panic starts to set in as terms like "mass layoff" and "work relocation" begin to surface in closed-door meetings. . . . more
News Note: Microsoft to Let Laid-Off Employees Keep Severance Overpayments
April 2009
Shortly after implementing the first large-scale layoffs in its history, Microsoft noticed that it had overpaid severance to 25 laid-off workers by about $4,000 to $5000 each. Microsoft then sent letters to the workers asking . . . more
Layoffs, Part 1: Final Pay Rules
March 2009
To the dismay of employers and employees alike, we're hearing the word "layoff" used a whole lot these days. Although we all know what layoffs are from a plain-English standpoint, legally the term has specific meanings that come with specific employer obligations. . . . more
Bulletin: Special Report Included with this Issue: "Navigating a Reduction in Force Without Getting Sued: Essential Compliance Strategies for California Employers"
August 2008
The word "recession" is on everyone's mind these days, and employers are feeling the pinch of the economy's downturn and are trying to cut costs to stay afloat. For some organizations, layoffs may be the unfortunate . . . more
Discrimination: $1.8 Million Verdict Upheld for Terminated Employee; Hiring and Firing by Same Manager Didn't Undercut Evidence of Bias
August 2008
An HR employee sued her employer, charging that she was terminated to make way for white males. In an interesting twist, the vice president who fired her was actually the person who had both hired and promoted . . . more
Bulletin: CEA Online Exclusive: Updated EEO Policy
July 2008
In this month's issue, we provide comprehensive coverage of GINA, the new federal Genetic Information Nondiscrimination Act that prohibits employers from refusing to hire an applicant and from discharging or . . . more
Family and Medical Leave: Ruling Spotlights Liability Issues for Staffing Firms and the Employers That Use Them
July 2008
Many employers that hire workers through staffing agencies may believe the federal Family and Medical Leave Act (FMLA) does not apply to them when it comes to these employees. However, in a new case that is . . . more
News Note: Courts Disagree on Time to Sue for Waiting-Time Penalties
July 2008
California appeals courts are in disagreement over how long an employee has to file a lawsuit to recover waiting-time penalties for delayed payment of wages when the underlying wages have since been . . . more
Bulletin: Troubled by terminations? Get your questions answered at the ERI Intensive Class on terminations in June
April 2008
Firing an employee is never a pleasant experience, yet it's an unavoidable aspect of your job. But make the wrong move when terminating a worker and your company could be facing a costly lawsuit. Don't take chances . . . more
Terminating Employees: Can Multiple Work Locations Be Considered a 'Single Site' for WARN Act Notice Purposes?
November 2007
Under the federal Worker Adjustment and Retraining Notification (WARN) Act, employers with 100 or more employees must give employees 60 days' advance notice of certain plant closings and mass layoffs. The law applies to . . . more
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