Your Rights During a Layoff: What Employees Should Know

The possibility of layoffs become an unsettling reality for many employees at the beginning of the year when companies are reevaluating budgets. Understanding your rights in a layoff scenario is crucial for navigating them correctly, and empowering yourself with knowledge about the law as it relates to employee layoffs can only help. If questions come up, having a good employment lawyer on your side will ensure that your rights stay protected.

Understanding Legal Requirements for Layoffs

First and foremost, it’s important to note that employers are obligated to follow specific legal requirements when conducting layoffs. For larger layoffs or mass terminations, the federal Worker Adjustment and Retraining Notification (WARN) Act may apply. This law requires employers with 100 or more full-time employees to provide at least 60 days’ notice before implementing mass layoffs or plant closures. If proper notice is not provided, affected employees may be entitled to compensation for the period of insufficient notice.

The Role of Severance Pay

Severance pay is another key consideration during layoffs. While federal law does not mandate severance pay, many employers offer it. Review any agreements you’ve signed with your employer, such as an employment contract or company handbook, to determine your eligibility. If you’re presented with a severance agreement, take the time to review its terms carefully. You may be asked to waive certain legal rights in exchange for payment, so consulting with an employment attorney before signing can help ensure that the terms are fair and lawful.

Accessing Unemployment Benefits

Unemployment benefits are an essential safety net for laid-off workers. Eligibility for these benefits varies by state, but generally, employees who lose their job through no fault of their own qualify. Filing a claim as soon as possible after your layoff is recommended, as processing times can vary. Be prepared to provide details about your employment history and the circumstances surrounding your layoff when applying for benefits.

Protections Against Discrimination and Retaliation

Discrimination and retaliation protections also remain in effect during layoffs. Employers cannot use a layoff as a guise for unlawful practices, such as targeting employees based on race, gender, age, disability, or other protected characteristics. If you suspect that your layoff was discriminatory or retaliatory make sure to consult with an employment attorney to explore your options.

Healthcare Coverage After a Layoff

Healthcare coverage is often a major concern after a layoff. The Consolidated Omnibus Budget Reconciliation Act (COBRA) provides a temporary solution by allowing employees to continue their health insurance coverage after leaving a job. Under COBRA, you can typically maintain coverage for up to 18 months, but it’s important to note that you may be responsible for the full premium cost, including the portion previously covered by your employer.

Navigating a layoff is always going to be stressful, but understanding your rights is the first step towards recovery. If you believe your rights have been violated, or if you need guidance on reviewing agreements or pursuing legal action, consult with one of our experienced employment attorneys at Walcheske & Luzi. Reach out to us today if you need help!