Have a general question about employment law? Want to share a story? I welcome all comments and questions. I can't give legal advice here about specific situations but will be glad to discuss general issues and try to point you in the right direction. If you need legal advice, contact an employment lawyer in your state. Remember, anything you post here will be seen publicly, and I will comment publicly on it. It will not be confidential. Govern yourself accordingly. If you want to communicate with me confidentially as Donna Ballman, Florida lawyer rather than as Donna Ballman, blogger, my firm's website is here.
Showing posts with label layoff. Show all posts
Showing posts with label layoff. Show all posts

Friday, March 13, 2020

22 Signs You're About To Be Laid Off

Sometimes a layoff takes employees by surprise. But there are usually signs, if you are paying attention. Here are some signs the company may be cutting back:

  • Paychecks bounce or are late: If your paycheck bounces or is late once, okay, maybe a glitch. But if it happens more than once, it's fair to assume the company is in trouble. Don't let them get further and further behind. If they aren't paying you, start looking and get the heck out of there.
  • Vendor checks bounce or are late: If vendors start complaining they haven't been paid, the company is probably  having financial trouble.
  • Job postings: It's good to keep track of company job postings. If you see a posting that looks suspiciously like your job, but it has a different title or lower pay, you are probably going to be "eliminated."
  • Out of the loop: If you're suddenly excluded from meetings, told to hand over information about your projects to someone else, they suddenly want you to describe from A to Z every single thing you do and how, or they suddenly want you to turn over all your business contacts, you're probably about to be replaced.
  • Budget cuts: A company in trouble may cancel projects or put projects on hold, start watching every single paper clip bought, or limit business travel and entertainment. Maybe that coffee quality drops or is eliminated. Free sodas and snacks disappear. That's a sign there's financial trouble.
  • Losses or revenue drops: If you have access to the company financials, some big losses, a major customer loss, or a severe or lengthy drop in revenue can signal long term financial trouble. If the company's product becomes the equivalent of a horse buggy, if a big product flops or fails to launch, if there's bad press, if the stock price drops, the company is in trouble.
  • Hiring freeze: When anyone leaves, someone else has to absorb their job. Double the work for the same pay. Fun! Time to start looking.
  • Supervisors are leaving: If your boss gets laid off or leaves, it may be time to look elsewhere. A new boss could want their own team, and many times bosses leaving can signal financial or other trouble in the department. If your bosses start taking their personal items home, that's a sign they're headed out.
  • Whispers and closed door meetings: If management starts having secret meetings or whispering, there is something afoot. It probably isn't good. 
  • Reassignments and restructuring: If entire teams starting being reassigned, positions restructured, even if it isn't your department yet, that's a sign there is some trouble brewing.
  • You lose access to email: If your password stops working for emails and other company documents, it's possible HR had a miscommunication with tech about when to pull the trigger. It may well not be a glitch. If you ask about it and there seems to be a lot of confusion and stammering, you're already gone.
  • Training: You're told to train a new employee in every aspect of your job. That's your replacement.
  • Won't look at you: If management or even coworkers suddenly can't look you in the eye, avoid you, or stop talking when you're nearby, you're being let go.
  • They used the words: If bosses start discussing or hinting about layoffs, restructuring, cutbacks, outsourcing, offshoring, or other similar terms, believe them.
  • Prior layoffs: If there has been a round (or more) of layoffs already, assume you could be next.
  • Conference rooms booked: If all the conference rooms are booked, especially if by HR, and even more especially if tissue boxes appear in them, a mass layoff is coming.
  • Security: If security guards start appearing, or if there is a sudden police presence, today is possibly layoff day.
  • Boss gets weird: If your boss starts acting odd, gives you a bad vibe, loses interest in your projects, looks uncomfortable, they may know something you don't about your future.
  • Raises on hold: If the company freezes wages, that's a sign there's financial trouble.
  • They tell you: If you have write-ups or disciplines, you are on notice you might lose your job. If they send you a WARN notice, there's definitely going to be a layoff.
  • Merger or acquisition: If your company is merging or being gobbled up by another company, there will be consolidations and cutbacks. This is always a very risky time.
  • HR wants to meet: If you're called into a meeting with HR, and they don't tell you what it's about, you may be getting let go at that meeting.


With some of these, you have enough warning to start looking elsewhere. If you are blindsided, just listen and take in the information. Don't do anything drastic or sign a severance agreement. Ask for copies of anyting they want you to sign and read carefully. Take to a lawyer if you don't understand or think you have potential claims.





Friday, March 8, 2019

I'm Being Fired! What Do I Do Now?

You're called into a meeting with HR and your boss. You know the axe is falling. Here some do’s and don’ts to consider if you are called into a meeting and fired:

DO'S 

1. Do work as long as you can.

If they are giving you the option to work for a few more weeks or months, do say yes. It's way easier to get a job when you have a job. Take that time to send out resumes and pound the pavement. Just make sure you still do your job while you're there, and don't start copying trade secrets or confidential information. That will just get you into trouble.

2. Do ask about getting your personal items. 

Many people leave their belongings behind. Security or HR might have to accompany you, but do get your stuff. They aren't allowed to keep your belongings. On the other hand, if it's in your work computer, your company phone, a company notebook, or something else they own, it's theirs. They don't have to let you print or copy anything that's in their property.

If it's important, keep it in your briefcase, your purse, or at home so that this doesn't happen. If you've, for instance, been keeping a log of every sexually harassing comment that was made, you may lose it now. That's why you never keep it on your work computer.

3. Do ask about your insurance. 
Are they cutting off your insurance that day, at the end of the month, or later? If you have an upcoming doctor's appointment or surgery, you need to know ahead of time whether or not you'll be listed as covered.

If coverage is getting cut off, it will be reinstated retroactively once you elect COBRA and make your payment. If you paid your share of insurance through the end of the month, remind them. They may extend your insurance at least through the time you've paid, or refund you the difference.

4. If no severance is offered, do ask about it. 
They may offer it if you ask. Don't agree to or ask for any amount on the spot (you're not thinking straight, remember?) You might want to talk to us to see if you have potential claims against them before you decide on an amount. If they do offer severance, ask them to put it in writing. Get legal advice before you agree to anything you don't understand.

5. Do ask if the company has a severance plan or policy.

You'd be surprised how many have written severance plans that don't require a release, yet they try to get you to sign one anyhow. Or they try to throw in a noncompete agreement that's not required.

If you're already entitled to severance without signing anything, then maybe you can negotiate more in exchange for a release or noncompete agreement.

6. Do ask when you'll get your final check.

Some counties and states have deadlines for employers to pay, some do not. Don't assume you'll be paid in the next pay period.

Also, if you're owed commissions, find out if they intend to pay them. If there are deals you've made that are in the pipeline, they may owe you money once they close.

7. Do ask why you're being terminated. 

Here in Florida they don't have to give a reason, but in some states they do. However, if they refuse to give you a reason, or give you a different reason than they give to unemployment or the EEOC, that may help you with your legal claims down the road.

8. If they claim you signed a noncompete or confidentiality agreement, do ask for a copy.

You need to understand what you signed. Many employers don't provide copies when you sign these agreements at the beginning of your employment. But if they want you to comply, they have to give you a copy so you understand your restrictions.

If they won't give a copy, or if you think your agreement might not be enforceable, contact an employee-side employment lawyer to review your options with you.

9. Do ask what co-workers and potential employers will be told.

It's important to know what to say to potential employers. It's also important to make sure the company rumor mill isn't fed with misinformation. Get on the same page with them if you can.

10. If they ask you to resign, say no. 

Unless you're being offered substantial dollars in exchange for a forced resignation, what's your upside? You'll probably be disqualified from getting unemployment. You may accidentally give up some discrimination, whistleblower or other claims.

Some people think it looks better to potential employers to say you resigned, but really, who do you think you're fooling? In this economy, almost nobody resigns without having another job lined up. They'll know something bad happened, so why make it easier on the former employer by quitting?


DON'TS 

1. Don't sign anything. 
You aren't thinking straight. When they shove a severance agreement, disciplinary report or other paperwork in front of you, take a deep breath, and ask for a copy to review. Take a look at it once you've had a chance to calm down.

If there's anything you don't understand, take it to a lawyer to have it reviewed before you sign. You may be giving up rights you shouldn't, or maybe you have some leverage to negotiate for more money.

You especially don't want to accidentally sign a noncompete agreement that limits your ability to work for a year or two, unless you understand it and are getting some substantial dollars for it.

2. Don't yell, curse or make a scene. 
You don't want to burn bridges. You still need these people, as much as you hate them right now. They will be on your resume for many years. They'll have to give references on you.

Plus, if you tick them off they're more likely to challenge your unemployment. They can make your life even more miserable right now, believe it or not. I've known many employees who were fired or laid off and who ended up getting rehired down the road.

3. If you believe they got it wrong, don't argue or beg. 
If they got the wrong person or there's something you can prove is incorrect, you can tell them calmly. However, very few employers will change their minds at this point.

If your proof is at home or is something you need to provide in writing, then wait until you've cooled off, put together your information in a business-like fashion, and send it later.

They may have an appeals or grievance process. Follow it.

4. Don't admit to a crime or wrongdoing.

Sometimes, the employer will lock you in a room with Loss Prevention and say you can't leave unless you sign something admitting that you stole inventory or did something wrong. Don't do it. You're already going to be fired -- don't let them fool you. "Just sign and you'll still have your job," they might say. They're lying. The only question is whether you'll also end up in jail or with a big judgment against you.

If they say you can't leave, open the door and go anyhow. If they block the way, pull out your cell phone or pick up the phone in the room and call 911. If you don't have a phone and they block your way, demand to be allowed out. If they still won't let you go, scream at the top of your lungs for help. That's the one time I recommend making a scene. (Don't touch anyone though). Eventually you will be allowed out of the room. Call 911 the second you leave the premises and tell the police what happened. Then call us (or a criminal defense attorney if you need one) and get advice.

But whatever you do, don't sign something admitting to a crime. Ever.

5. Don't demand to say goodbye. 

You don't have the right to have a big farewell scene with co-workers. You're upset and will probably embarrass yourself. If co-workers approach you right after you've been fired, stay calm. Don't badmouth the company or the boss. Leave with class and you may keep the doors open to come back someday.


While being fired is right up there with a death in the family as one of the most stressful things that can happen to you, with lots of self-control and a little preparation, you may help ease your transition a bit. If you do have any potential claims against the company, you hopefully won't have done anything to damage your case. More importantly, you won't have burned any bridges.

Friday, March 1, 2019

I Think I'm About To Be Fired! What Do I Do?

With layoffs happening in droves right now, many people are wondering what to do if the axe falls. While this is a stressful time, it’s also an opportunity to prepare. Here are some things to think about if you are about to be fired or laid off:
  • Potential claims: If you think you’re being singled out due to race, age, sex or national origin, start writing down the ways you believe you’ve been treated differently. If you are objecting to or refusing to participate in something illegal, make sure you document it. A discrimination or whistleblower claim might give you leverage to negotiate a better severance package. Now might be a good time to have a strategy session with an employee-side employment lawyer about how to document your case.
  • Look for a job: No matter why you may lose your job, polish your resume. It's way easier to get a job if you have a job. Don't procrastinate.
  • Signing termination papers and severance agreements: If your employer hands you a resignation or termination paper to sign and you’re not getting any severance, take a pass. If you will receive severance, be careful before signing an agreement. You may wind up agreeing to something costing you more than the amount of your severance, such as a requirement to turn down a job offer from a competitor. If the employer wants you to sign a non-compete clause and the restriction is longer than the number of weeks of severance, it’s probably not worth signing unless you’re going into an entirely new field. If you don’t understand everything in your severance agreement, have a lawyer review it with you to discuss claims you may have that could be potential leverage that you have that might get you a better package, and any changes to the agreement language that are necessary. 
  • Exit interviews: Some companies say you’ll need to give an exit interview after you’ve been fired. That’s because firms use exit interviews to cover themselves in case departing employees later claim discrimination or something illegal. Here’s the truth about an exit interview: Your employer can’t make you go to one. I’d suggest not giving an exit interview unless the firm offers to pay you the equivalent of your salary for the time it takes to do one. The trouble with exit interviews is that anything you say can come back to bite you later. I’ve seen people who were accused of making threats or engaging in inappropriate behavior during their exit interviews. If you do have the session, avoid the temptation to blast your supervisors or complain about their incompetence or mismanagement. Remember: These are the people who will be giving references to potential employers. So no matter what you think of them, hold your tongue. It could serve you well in the future. 
  • Gather your documents: Start gathering documentation of anything they owe you (commissions, bonuses, contracts, etc.), proof of any deals still in the pipeline you think you may be entitled to be paid on after you leave, copies of all employment agreements, confidentiality agreements and noncompete agreements you signed, your performance reviews, evaluations, commendations, awards, write-ups, disciplines, recommendation letters -- anything you can get about your performance, bad or good anything else you think might be useful to a lawyer or to unemployment. Copy any thank you notes, letters or great comments you’ve received from your boss; take any plaques, certificates and awards home (in case you’ll be asked to leave abruptly) and get a copy of your personnel file if you can, as well as the employee handbook and benefits policies. Be discreet, though. Don’t empty out your office in one day. If you do, your employer may say you quit. 
Hopefully you'll never be in the situation of losing your job, but be ready if you think it's about to happen. When the axe falls, you'll be too stunned to act rationally. Next week I'll talk about what to do during that termination meeting and right after.
 



Friday, February 15, 2019

How To Tell If You Were Targeted For Layoff Due To Age

Layoffs seem to come in waves, and I'm seeing more of them right after the holidays, and there have been some big layoff announcements. If another recession kicks in, we'll see even more. Older employees, along with the disabled and pregnant employees, are the most targeted employees in layoffs. There seems to be an assumption that the "old guys" will be retiring soon anyhow so it doesn't matter. It does. Targeting older employees is illegal.

How do you figure out whether you were selected due to your age? Here are some factors to consider:
  • Comments: If your boss makes comments about age, that's direct evidence of age discrimination. Referring to older employees as, "geezer," "old man," or "pops," may indicate age discrimination. It can be more subtle. Saying the company wants a "young image," asking questions about your energy level or saying you may not be able to keep up with the new changes can all be evidence of age discrimination.
  • Different treatment: If you are selected as one of the employees to be laid off but younger, less qualified employees are kept on, then that is also evidence of age discrimination. Let's say the position requires a certification. You have it but the younger employee is working to get it. You're more qualified. Seniority can also be a measure of your qualifications. If you've been in the position for 20 years with all good reviews and the younger employee has only held the job for a year, that's a good indication that age discrimination is occurring.
  • Different options: If you are told you have to take the severance, where younger employees are given the option of stepping down to a lower paying position, then that could also be age discrimination.
  • Disparate discipline: Since the company is looking at disciplinary history, if you are suddenly targeted for discipline for picky things that younger employees also do and aren't disciplined for, then that is another sign that you are being targeted due to age.
Sometimes, you're given the option of taking a demotion rather than a layoff. If others are offered this option but the older employees aren't, that could be age discrimination in itself. On the issue of stepping down versus taking the severance package, that's a decision you need to weigh carefully. If your retirement benefit (assuming you work for the rare company that still has one) is measured by your last year or several years' pay, then you may want to go for the severance package if offered. On the other hand, if you aren't vested or can't retire yet and only have a few years left, stepping down may be the best option. This might be a good time to meet with your accountant or a financial planner to discuss the best options for you.

If you think you're being targeted due to your age, talk to an employment lawyer in your state. Sometimes age discrimination can give you leverage to negotiate a better severance package.

Tuesday, February 18, 2014

Am I Being Targeted For Layoff Due To My Age?

An AOL Jobs reader asked me:
I work for a large company in Ohio. There are 50 or so employees with my job title working at various locations in the area. The company has decided to eliminate all but 15 of those positions. I am 61 years old. The company first examined our work history, anyone with disciplinary actions were eliminated from the pool. We were informed some positions had been filled and yesterday "group interviews" were conducted. The union negotiated a severance package, one week pay for each year served, the company will continue to pay benefits for three months and they will not contest unemployment benefits. I have been informed by my department head they may offer a lesser paying position if I am not among those chosen. There are 3 people with my title at my store. Should I be permitted to choose between a lesser paying job and the severance package? After the severance package, unemployment, perhaps SSI disability, can I simply accept early retirement? What other options do I have?
Older employees, along with the disabled and pregnant employees, are the most targeted employees in layoffs. There seems to be an assumption that the "old guys" will be retiring soon anyhow so it doesn't matter. It does. Targeting older employees is illegal.

How do you figure out whether you were selected due to your age? My latest article at AOL Jobs tells you what you should consider and when to contact a lawyer.