Reductions in Workforce that Don't Trigger Lawsuits
by Nancy Pysher, SPHR, Consultant, The HR Group, Inc.
Any employee action may lead to legal action. That is a fact of life in today's work environment. Finding your way through the quagmire of legal issues surrounding reductions or "mass layoffs" can be tricky business and requires much thought and team planning. This is not the time to target "the old guy who works in the back" or the gal working in marketing "with that funny accent". Without getting into the very complicated areas of Section 409A, COBRA requirements, labor laws, collective bargaining agreements, Warn Act or infringements of rights, this article will discuss issues that will need your attention before you act on your reduction in workforce plans as well as a logical process for approaching the situation.
- Do we really need to cut positions? Ask yourself: Are you acting in good faith and being realistic about present and future business needs? Is this the logical step that will keep your business solvent? If your answer is yes to these questions, then let's look at the next step.
- Plan before you act. Use a team approach which should include your management team and specifically your human resource professional. Be sure your HR representative is familiar with current laws governing lay-offs and remember if you are working with a union or with employees under contract, specific rules may apply. Planning includes communicating with your employees. Remember the golden rule: No employee action should come as a surprise. Let your employees know that business has been negatively affected and that changes will need to be made. Honest straight forward communication is the key to trust and respect.
- Make sure your HR policies are in place.
Well-crafted written policies should be in place BEFORE you lay anyone off. Don't "do the deed and then try to cover your actions". This will not work and may lead to adverse impact or charges of disparate treatment. Take the time to review what you have in writing and what your past practices have been, and then think about what you want to do.
Click here to read the full article Nancy Pysher has over twenty years experience in management of human resources for diverse workforces including Guilford Mills, Burger King Corp., and Kayser Roth Hosiery. Her emphasis lies in employee relations, supervisory training, and HR policy development.
A certified Senior Professional in Human Resources (SPHR) and member of SHRM's Consultant's Forum, Nancy's background and experience are enhanced by her volunteer efforts as chair of the Governor's Counsel for Persons with Disabilities, the textile Hands for Habitat project and the Advisory Board for Co-Op and Job Placement at Guilford Technical Community College. She has also served as a board member of the local SHRM professional chapter, chaired the Education Committee and facilitated SHRM certification training classes.
Recent comments about Nancy:
"Her vast knowledge and real life experiences enable her to understand her client's requests and develop solutions and programs that are effective for a variety of industries."
"Throughout the entire process, Ms. Pysher has been professional, developed a compliant program, and has made herself available to answer our never-ending questions."
"Our staff thinks you 'hung the moon'. Thank you for being a wonderful professional partner!" |
Special Update: Legal Aspects of Reductions in Workforce
- What are the advantages and disadvantages of temporary vs. permanent layoffs?
- How will layoffs affect a business's unemployment payments?
- What do employers need to know and what should they watch for when deciding which employees to lay off?
Date: Wednesday, March 18, 2009 Time: 10:00am - 2:00pm (lunch included)
Location: HRG Academy, 216-3 Swing Rd, Greensboro
Cost: $50
10:00am presentation by Nathan Duggins of Tuggle Duggins Law Firm
11:45am Lunch
12:15pm presentation from Leon Shields of the Employment Security Commission
Register here (click on Legal Aspects of Reductions in Workforce) |