Legal Question in Business Law in California

Layoff

I was laid off from my company. However my job and it's entire responsibilities are being replaced. Offers were made to replace my job before I even left.

I have inside information that my company's legal council has advised the company against replacing my position but they are moving forward anyway. Do I have any recourse? Does the company have to wait a certain period of time before refilling the position? Does the company have to do more the slightly change the job description before refilling?

I need to know if I have recourse prior to signing a legal release in order to obtain a severance.


Asked on 2/18/03, 9:31 pm

2 Answers from Attorneys

Amy Ghosh Law Offices of Amy Ghosh

Re: Layoff

Do not sign the separate agreement and retain an attorney to represent you in this matter. An attorney can get a better severance package for you by writing a demand letter and negotiating on behalf of you !!!Take a look at my site at www.lawyers.com/amyghosh

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Answered on 2/18/03, 9:49 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: Layoff

Your rights to continued employment, and therefore your employer's right to lay you off (I guess that means 'terminate' in this case, although sometimes it implies a temporary situation with an expectation of recall) depend pretty much on contract, and to some lesser extent on public policy.

It's sometimes said that an employee can be discharged for a good reason, or no reason at all, but never for a bad reason. This isn't precisely true, but it's helpful in understanding your rights. You can't be let go and replaced because you were a whistle blower, for example, or on account of your race, religion, age (in most cases) or sex or sexual preference.

On the other hand, employment was traditionally "at will," and still is to a modest degree. This means the employee can quit any time, and the employer can fire at any time.

The obvious limitations on this old-fashioned doctrine include (1) collective-bargaining (union) contracts establishing seniority systems and other protections against capricious firing (I assume you were not under a union contract); and (2) private employment contracts under which the employee is guaranteed employment for a particular term, or under certain conditions. The most well-known examples are pro sports players' contracts, but many executives and technical specialists have them, too.

Less obvious, courts often hold that there is an implied promise of continued employment that can be found, for example, in the company's employee handbook. For this reason, many employers insert language in their handbooks re-asserting the "at will" doctrine. Implied promises can be read into other long-term arrangements between the company and worker, too, such as stock option plans and training programs, but these are weak bases on which to allege a contract for continuity of employment.

So, most of what you say in your question is not really the important stuff that needs to be looked at. Yes, you may have recourse, but your case would depend on facts not mentioned. No, they don't have to wait, and they don't have to change the job description, UNLESS doing so helps them justify replacing you under the terms of some contract. What contract? Look at everything you signed, or were handed, regarding your hiring and the company's policies. Some of that stuff may amount to an implied contract term.

Whether it's worthwhile to pay a lawyer to intercede, or save the money and sign the release, is a true speculation that cannot be answered by 'remote control.' Maybe you can get a free consultation with a local lawyer. Otherwise, consider the factors I've mentioned and then follow your gut instincts.

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Answered on 2/18/03, 10:32 pm


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