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Layoffs

If layoff decision affects only a few, no notice necessary

12/01/2007

The Worker Adjustment and Retraining Notification Act (WARN) requires employers to notify workers of a mass layoff if the affected site has at least 50 employees. But the U.S. Labor Department regulations interpreting WARN specify that employees in the field belong to the office they report to. What happens, then, when a regional office employs just a handful of workers? …

No time for WARN notice? You can continue paying instead

12/01/2007

Congress passed the Worker Adjustment and Retraining Notification Act (WARN) to give employees time to adjust to an imminent plant shutdown and prepare for unemployment. Covered employers are required to give employees 60 days’ notice before shutting down operations. Good news: The 4th Circuit Court of Appeals has ruled that not giving WARN notice is fine—as long as the company continues to pay …

Track rejected job offers to show lack of discrimination

11/01/2007

Employees who begin to feel less valued at work often look for some underlying reason. Often they focus on suspected age, sex, national origin or some other form of discrimination. Then, when a layoff or reorganization costs them their jobs, they sue. Frequently they’ll argue that they should have been offered open positions, even if it would have meant receiving a smaller salary than they had been making …

Do temporary employees count for WARN Act?

11/01/2007

Q. Our company may be closing a small facility in which 25 regular employees and 50 additional temporary employees work. Do we include the temporary employees when we decide whether we must give a WARN Act plant-closing notice? …

Unemployment following a strike

11/01/2007

Q. We are a small, nonunion parts supplier for a large, unionized manufacturing plant. Due to an ongoing strike by our primary customer’s union, demand for our product has decreased significantly, and we are having difficulty meeting payroll. Consequently, we are preparing to lay off several of our staff. Our CFO remembered reading that in Indiana, someone who loses his job due to a strike is not eligible for unemployment compensation. But, because the only reason we are laying our people off is due to the strike at our customer’s facility, can we contest unemployment for our laid-off staff? …

Satellite offices may not count for WARN layoff notice

11/01/2007

The Worker Adjustment and Retraining Notification (WARN) Act requires employers to provide 60 days’ notice before a plant closing or a mass layoff involving 50 or more employees at a “single site of employment.” Employees have tried to argue that satellite offices should be included to determine if WARN notification was due …

IT administrator who planted ‘Logic bomb’ pleads guilty

11/01/2007

Yung-Hsun “Andy” Lin, a former systems administrator at Medco Health Solutions, pleaded guilty to planting a “logic bomb” on the company’s computer network because he suspected he was about to be laid off. The malicious software, a string of coding that would have wreaked havoc on the company’s systems, was set to detonate on Lin’s birthday …

Court: If employees hold the job, they’re ‘Qualified’

11/01/2007

Employers are finding it harder to get age discrimination cases dismissed early. They also are learning that beating age discrimination suits requires rock-solid evidence of fair and equal treatment—and a genuine, legitimate reason for discharging the employee that has nothing to do with age …

Prevent ‘Survivor syndrome’: Avoid turnover after layoffs

10/16/2007

Issue: After a round of layoffs, remaining employees will wonder "Who’s next?"
Risk: That insecurity can cause layoff survivors to "fire themselves" and seek greener pastures elsewhere.
Action: Don’t …

Supreme Court to hear important employment law case

10/02/2007

In a term that will be dominated by cases concerning Guantanamo detainees and the power of the Executive branch, the U.S. Supreme Court will also hear an important case involving employment discrimination.