Employee Rights Regarding Furlough Back Pay and Notification Requirements

What you’ll discover:

What exactly are furlough days?
How much notice must an employee be given before being furloughed?
Is it my right to prior notice if I’m being furloughed because to COVID-19?
Are furloughed workers eligible for unemployment benefits?
Is it possible for me to get back pay after a furlough?
Consult a lawyer.

If you are one of the millions of Americans who are out of work as a result of the coronavirus epidemic, you may have doubts regarding your rights. If you have been put on furlough, you may be wondering what that entails, if you are entitled to notice, and whether you will be eligible for back pay or unemployment benefits as a consequence. We’ve compiled the following responses to some frequently asked queries from furloughed employees:

What exactly are furlough days?

A furlough is an unpaid leave of absence. During a furlough, an employee must not conduct any work for their employer, such as answering phones or checking and responding to emails. While you are not eligible to pay while on furlough, you do have your benefits, such as health insurance, and it is expected that you will return to work at some time. In reality, the majority of companies specify an expected return to work date or a condition that must be met in order for the furlough to be terminated. In the event of COVID-19, your furlough may terminate when the regulations for shelter-in-place are abolished or non-essential enterprises are permitted to reopen. Employers often utilize a Furlough Letter to express their decision. If you did not get a formal notice, requesting one for your records as evidence of unemployment may be beneficial.

How much notice must an employee be given before being furloughed?

If your position fits the standards of the federal Worker Adjustment and Retraining Notification (WARN) Act, you may be entitled to notification of a furlough. When a mass layoff or factory closure results in the loss of employment for a certain number of persons, the WARN Act mandates early warning.

The date of the furlough, among other factors, determines whether a furloughed employee is entitled to notification under the WARN Act. If the furlough is scheduled to extend more than six months, the WARN notification obligations will almost certainly apply. If an employer believes in good faith that the furlough will last less than six months, the company may be exempt from providing notice.

In addition, the company must be qualified. According to the US Department of Labor, a firm is subject to the WARN Act notification obligations if it meets the following criteria:

It employs 100 or more full-time employees (excluding employees with less than 6 months on the job or who work less than 20 hours per week), or it employs 100 or more employees who work a combined 4,000 hours per week or more.
It is a private for-profit enterprise, a private non-profit organization, or a quasi-public institution distinct from the normal government (Note: Government employees are not entitled to notice under the WARN Act).

If your employer fulfills the WARN Act requirements, you may be entitled to a 60-day written notice if any of the following events occur:

A plant shutdown occurs when your company closes a facility or operational unit within a single location of employment and lay off at least 50 full-time employees.
A mass layoff involving between 50 and 499 full-time employees at a single location (where that amount represents 33% of the total number of full-time employees at that location).
A circumstance in which your company fires 500 or more full-time employees at a single location.

Ask a lawyer if you have any queries concerning your entitlement to 60 days’ notice before being furloughed.

Is it my right to prior notice if I’m being furloughed because to COVID-19?

Even if your employer satisfies all of the requirements for providing notice of a furlough under the WARN Act, you may not be entitled to a 60-day notice. The duty to provide notice is effectively waived if:

The company could not have reasonably predicted business conditions that would have resulted in a layoff or factory shutdown at the time the 60-day notice would have been needed, or the layoff or plant closing is the direct consequence of a natural catastrophe.

The coronavirus epidemic sweeping the country might be classified as a “unforeseen business scenario” or a “natural catastrophe.” As a result, the WARN Act’s notification obligations may be inapplicable. In specific situations, several states, most notably California, have even approved a temporary suspension of the WARN notification obligations. Consult with a lawyer to learn how the law relates to your individual circumstance.

Are furloughed workers eligible for unemployment benefits?

Normally, state law dictates who is eligible for unemployment benefits, with the majority of states granting such benefits to furloughed workers. Yet, during the coronavirus epidemic, the federal government intervened and created the Coronavirus Assistance, Relief, and Economic Security (CARES) Act. Furloughed workers have the right to receive unemployment compensation under the CARES Act. If you are qualified, it also entitles you to an extra $600 per week in unemployment compensation.

Is it possible for me to get back pay after a furlough?

Although you are not automatically entitled to back pay for furlough days, you may be if your employer violates the WARN Act’s notification requirements. If your employer was legally obligated to give you notice but did not, you may be entitled to back pay and benefits for up to 60 days. If your circumstance fits this description, you should consult with a lawyer.

Consult a lawyer.

The COVID-19 problem has caused many firms to close and affected our way of life, making these difficult times for both employers and workers. Yet, as an employee, you still have some rights.