Layoffs

News & Analysis as of

WARN Act and Oil Field Rightsizing: Court Finds Layoff Does Not Require Notice

In a recent case involving the layoff of employees assigned to land drilling rigs, the U.S. District Court for the Northern District of Texas limited the ability of plaintiffs to claim that multiple rigs collectively form a...more

Layoffs Without WARN-ing: How to Use the Unforeseeable Business Circumstance Exception

A recent federal trial court decision out of Delaware, In re AE Liquidation, Inc. v. Burtch, No. 14-1492-LPS (D. Del. Mar. 31, 2016), illustrates how, even in the context of a very troubled business, the Worker Adjustment and...more

Layoffs of Foreign Workers Lead to Corporate Immigration Concerns

While there is much focus in the media about the termination of U.S. employees and their replacement with workers abroad, there is little discussion about the layoff of foreign employees, currently living in the country....more

Mine Your Own Business? Three Neighboring Mines Don’t Meet WARN Act “Single Site of Employment” Test

When are sister corporations considered a “single employer” under the Worker Adjustment and Retraining Notification Act (WARN Act)? And when are their worksites considered a “single site of employment”? ...more

WARN Act Does Not Prohibit Employers From Spacing Layoffs to Avoid Notice Requirements

The federal Worker Adjustment and Retraining Notification (WARN) Act requires employers to provide 60 days advance notice to employees of certain qualifying plant closings and mass layoffs. The WARN thresholds are based on...more

Employment Law Commentary - Volume 28, Issue 2 - February 2016

Separation Anxiety: Best Practices for Employee Severance Agreements: Employers deal with employee separations all the time. Back when I was an HR manager for a major airline, when it came time for a layoff or other...more

Employment Law Navigator – Week in Review: February #5

February was a tough month for Silicon Valley unicorn, Zenefits. After losing its CEO due to “compliance issues,” word spread that additional compliance issues were rampant in both its business operations and human...more

Graceful exits

No one likes layoffs. The person getting fired may be depressed and fearful about his or her job loss, and the person doing the firing usually feels rotten about being the bearer of bad news. In a layoff situation, an exit...more

Downsizing and Firing Employees in California

Most companies will eventually face the unpleasant task of terminating an employee or group of employees. When they do, it’s critical that they follow best practices and comply with applicable laws for many reasons, ranging...more

Employment Law Navigator – Week in Review: February 2016

Equal pay and EEO-1 reports made headlines last Friday as the EEOC and the White House celebrated the 7th anniversary of the Lilly Ledbetter Act. The EEOC announced a proposed new requirement for federal contractors and...more

Not So Final WARNing: Sixth Circuit Finds That Employment Ends with Termination of Wages, Not Notice

In Morton v. Vanderbilt Univ., 2016 WL 52439 (6th Cir. Jan. 5, 2016), the Sixth Circuit recently held that, for purposes of the Worker Adjustment and Retraining Notification Act (“WARN Act”), employment does not end at notice...more

498, 499, 500! Not So Fast, Says the Sixth Circuit on WARN Act Case

This week, the Sixth Circuit weighed in on what it identified as an “unusual” case involving the seldom-seen Worker Adjustment and Retraining Notification (WARN) Act. The WARN Act requires employers to provide at least 60...more

Notice of Future Termination Does Not Constitute Immediate Employment Loss Under the WARN ACT

The U.S. Court of Appeals for the Sixth Circuit recently clarified that when an employer provides notice to a group of workers that their employment will be terminated in the future, they do not suffer an immediate employment...more

Severance Payments May be Recoverable in a Company’s Bankruptcy

Working for the Queen of Hearts is a tough gig. A disappointing quarter and she’s quick to the chopping block. And the ‘severance’ she offers – “Off with their heads!” – no thanks....more

Directors in the Twilight Zone: Administ(rate) With Caution

The recent criminal charges being brought against the former directors of City Link Limited (in administration) are a timely reminder for insolvency practitioners and directors to be mindful of their employment law...more

A WARNing to Directors and Officers — Failure to give proper WARN Act notice may breach your fiduciary duty

At first glance, Stanziale v. MILK072011, looks like someone suing over a bad expiration date and conjures up images of Ron Burgundy proclaiming “milk was a bad choice.” But in actuality Stanziale is much more interesting: it...more

La Loi Macron est entrée en vigueur: beaucoup de bruit pour pas grand-chose?

Cette loi apporte des ajustements mais pas de bouleversements dans plusieurs pans du droit social français. Après des mois de discussions ardues, la Loi pour la croissance, l'activité et l'égalité des chances économiques...more

The “Law Macron” Has Taken Effect: Much Ado About Nothing?

This LawFlash focuses on dismissals and mass redundancies. After months of tense discussions in the French Parliament, the law for the Growth, the Activity and the Equality of Economic Opportunities (Law Macron), which...more

Massive Terminations: A 2015 Key Issue for China Labor

“Massive terminations” occur in China when an employer terminates more than 20 employees or more than 10 percent of its total employees at one time. Even though there are no official statistics on massive terminations of...more

Planning for a Government Shutdown

As described in detail in a recent Washington Update, there is once again a reasonable likelihood that we are headed for a government shutdown beginning Thursday, October 1. This article puts aside politics to focus on the...more

Planning for a Possible Government Shutdown: Labor and Employment Issues for Government Contractors

With the federal government funded only through Sept. 30, 2015, unless Congress acts quickly, there is a reasonable likelihood of another government shutdown beginning Oct. 1, 2015. The looming shutdown will create...more

Microsoft Lays Off Workers Amid Calls for Expanded H1-B Visas

In July, Microsoft Corporation announced it would lay off 7,800 workers worldwide. The layoffs amount to 7 percent of the technology company’s global workforce. Politicians rarely like to hear about corporate layoffs —...more

What’s the Alternative?

FEMA Employees sued when FEMA closed its Puerto Rico-based call center. The call center was originally a “temporary” center set up to address calls from Spanish-speaking victims of a hurricane. The leased facility was...more

Brazil: Amid Great Recession, Government Issues Executive Order to Stave Off Unemployment and Reduce Labor Costs

On July 6, 2015, the Brazilian government issued an Executive Order (MP 680/15 and Decree 8.479/15) called Program to Protect the Employment (“PPE”) to slow down the rise of unemployment and the deepening of the recession. ...more

Laid-Off Chicago Teachers Clear Class Certification Hurdles

In 2011, the Board of Education of the City of Chicago laid off over 1,400 teachers and paraprofessionals, all of whom belonged to the same union. The Board chose which schools would be subject to layoffs and it was then up...more

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