Tag: furlough


Continuing Pandemic Blurring the Line Between Furloughs, Layoffs

Back in the spring when businesses across the country first fell victim to COVID-19, many employers chose to furlough workers temporarily rather than lay them off permanently. But now, with the pandemic dragging on, some furloughs are extending much longer than originally expected, triggering employer obligations under federal and state laws.

Work Furloughs Due to the Govt. Shutdown: How Should Employers Pay Employees?

At press time, federal government agencies and many of the contractors that support them were still shut down by the inability of our ostensible leaders in Washington, D.C., to fulfill their Constitutional duty to pass a budget. No matter its length, though, the shutdown may cause headaches for private-sector employers that had to furlough employees […]

Furloughs and Reduced-Hour Schedules As Alternatives to Layoffs

Layoffs have many downsides. Employee morale is guaranteed to drop. A company’s unemployment insurance premiums will rise, perhaps steeply. And if an employer provides severance packages and/or outplacement services, they could get very expensive. If layoffs are significant in number, a business may not be able to adequately compete once the economy turns around. And […]

DOL Issues Opinion Letter on Wage and Hour Issues for Mandatory Unpaid Time Off

In today’s economic climate, companies are continually looking for ways to cut costs without cutting jobs and resorting to layoffs. One option many companies are considering is mandatory unpaid time off, sometimes referred to as an employee furlough. By requiring mandatory unpaid time off, companies can reduce payroll expenses by reducing the number of hours […]