Reduction in force

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Reduction in force

My company recently went through what was called a reduction in force. Numerous positions were “eliminated” and people were given one month notice. However the next week, temp employees basically replaced them under different titles. ex Sr Accountant with Accounting analyst but the job responsibilities were the same. The people who were laid off stayed on and were told they had to in order to receive their severance pay and trained their replacements. Now the contingent employees have become full time employees. Is this legal?

Asked on June 23, 2009 under Employment Labor Law, Washington

Answers:

J.M.A., Member in Good Standing of the Connecticut Bar / FreeAdvice Contributing Attorney

Answered 12 years ago | Contributor

Employers are permitted to re-organize without violating any laws.  However, they are not permitted to discriminate.  If the people who were laid off where a combination of all different ages, sex and race, then the chances of there being an issue is very low.  The company is permitted to downsize and try to cut pay. I do not think that the employer is doing anything wrong here.


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