There seems to be an almost daily litany of layoffs by large corporations that instantly become media fodder. For example, McDonald’s recent layoff, widely reported to have impacted hundreds of white collar employees, comes...more
As the country continues to navigate an economic downturn and employers discuss the possibility of reducing their workforce, employers should be aware that there are several layers to conducting a reduction in force,...more
An unfortunate result of the current state of economic uncertainty is that many employers have begun to consider reductions-in-force or other layoffs. However, you need to ensure you carry out any RIFs or layoffs correctly if...more
Recent news has shined a spotlight on the legal consequences of mass layoff situations. Employers should take steps now to prepare for possible reductions in their workforce. By being aware of the potential pitfalls and legal...more
With the rise of inflation and other negative economic indicators, most news reports are suggesting that the U.S. economy is facing uncertain times. Some economists predict that the economy is headed for a recession or that...more
We recently have observed an increase in the number of employers conducting group layoffs or “RIFs” in order to cut costs because of the economic downturn. This trend may only worsen in the coming year. Employers must be...more
As economists and news outlets inform us daily, a recession is coming – with some asserting it is already here. For many companies this signals a major change to what has been a very tight labor market. Employers are...more
Question: We’re a privately owned company with fewer than 100 employees. Do we have to follow the Worker Adjustment and Retraining Notification (WARN) Act regulations if we decide to conduct a temporary layoff in the near...more
Recently, we examined the wisdom and legality of mandating retirement for older workers. The gist of that analysis was “don’t do it” except in limited circumstances — and certainly don’t do it without talking to your legal...more
Workforce reductions, whether in the form of hours reductions, furloughs, or layoffs, are often a last resort for employers experiencing financial pressures. Nevertheless, when these actions are necessary, time typically is...more
Many employers have opened for business and now hope for much-needed smooth sailing. As they chart their course for open and calm waters, however, employers would be well-served to keep their spyglasses focused on the...more
In this unprecedented COVID-19 world, employers may need to consider layoffs, furloughs, or even closures to get through to the other side (whenever that comes). If you have done all you can to weather the government-mandated...more
On March 16, the City and County of San Francisco issued the nation’s first “shelter in place” order to mitigate the spread of the unrelenting novel coronavirus. Although this drastic move was needed to deal with the negative...more
The novel coronavirus (COVID-19) pandemic has reached almost all U.S. states, the District of Columbia, and Puerto Rico. It appears that COVID-19 originated in China’s Hubei province and it presents the greatest risk to...more
In this episode of The Proskauer Brief, partners Harris Mufson and Evandro Gigante discuss considerations and best practices associated with reductions in force. Companies that make a business decision to reduce its staffing...more
When employers face the need to cut costs, they may have to make a series of difficult decisions affecting all aspects of their operation. Among the most difficult cost-cutting measures are those that directly impact...more
Reductions in force (“RIFs”) are group terminations, usually driven by the financial condition or business needs of the employer. An employer’s General Counsel, even though responsible for protecting the employer from legal...more
This past weekend, while college basketball teams across America finished up their conference tournaments, 64 employment law issues played in the first round of our tournament, and boy did it live up to the hype. Filled with...more
On March 21, 2013, the House of Representatives approved a spending bill that would provide funding for the federal government through September 30. The Senate had already passed the bill and President Obama is expected to...more