Facing a layoff can be daunting, but knowing your rights can be helpful in navigating this challenging time more effectively. Here are vital rights you should be aware of during a layoff.
Notice of Layoff
According to the federal Worker Adjustment and Retraining Notification (WARN) Act, companies made up of 100 or more employees have to provide a 60-day advance warning before a mass layoff or plant closure. California’s WARN Act applies to employers with 75 or more employees. This notice gives workers time to seek other employment or training opportunities.
Severance Pay
While not mandated by federal or California law, severance pay is often provided based on company policy or employment contracts. Review your employment agreement for any severance pay clauses. Employers may also offer severance as part of a negotiated settlement.
Unemployment Benefits
You may be eligible for unemployment benefits if you lose your job through no fault. File a claim with the California Employment Development Department (EDD) to receive temporary financial assistance while you search for new employment.
Final Paycheck
California law requires employers to provide your final paycheck immediately if you are laid off. This paycheck should include all wages, including any accrued vacation time. You may be entitled to additional penalties if you do not receive your final paycheck on time.
Continuation of Health Benefits
Under the federal COBRA law, you can retain your employer-sponsored health insurance for up to 18 months after a layoff. California’s Cal-COBRA extends this coverage for an additional 18 months for 36 months. Note that you will need to pay the full premium, which can be costly.
Discrimination and Retaliation Protections
Employers cannot choose employees for layoffs based on race, color, religion, sex, nationality, age, disability, or genetic information. If you suspect discrimination or retaliation in the layoff process, you may have grounds for a legal claim.
Navigating a layoff can be overwhelming, but understanding your rights can make a significant difference. If you have questions or need assistance, the Law Offices of J. Kirk Donnelly is here to help. Contact us for a free consultation, and let us help you through this difficult time.