In this brutal economy, desperate applicants—and current workers who believe they may be laid off soon—are trying an interesting tactic: They’re volunteering to work for less pay … sometimes much less.
A new court ruling shows why you should take those offers seriously.
For example, say you reject an older employee’s request to work for far less pay and then replace him with a younger employee who is paid at the regular rate. As the following case shows, that could trigger an age discrimination lawsuit.
In desperate economic times, disgruntled employees are looking for a reason to sue. Ensure that you know how to lay off safely and legally with this interactive audio conference. Trouble-Free Terminations: Legally Safe Layoffs and Firings
Recent case: George Carras, who was in his early 60s, was the CFO for a shoe importing business. When management said it was terminating him due to financial pressures, he offered to take a steep pay cut down to $60,000. The company rejected his offer and laid him off.
Then Carras found out that his younger replacement’s salary was above $60,000. He sued for age discrimination, saying it was obvious that economics really hadn’t been the true reason for his termination. A federal appeals court sent the case to trial. (Carras v. MGS 728 Lex, No. 07-4480, 2nd Cir., 2008)
Have your questions answered by nationally recognized employment law attorney Maria Greco Danaher, a frequent legal writer for the Society for Human Resource Management, who will guide you through the correct policies and processes for legally safe layoffs. Trouble-Free Terminations: Legally Safe Layoffs and Firings
Note: On the flip side, if you selectively accept certain employees’ or applicants’ offers to work for a lower-than-average pay rate, you could be setting yourself up for a pay discrimination lawsuit if those cut-rate workers fall into a protected category (age, sex, race, disability, etc.).
During this 75-minute, interactive audio conference, Maria will give you definitive advice on:
Trouble-Free Terminations: Legally Safe Layoffs and Firings
- How to ensure that your written policies support termination decisions.
- How a well-constructed severance agreement and release can help to avoid a lawsuit.
- The correct step-by-step protocol for terminations and the common mistakes that occur in poorly planned terminations.
- What must be addressed during and after termination meetings to comply with applicable laws.