Layoffs and HR Cost-Saving Measures

See accompanying model documents below.

This content conveys general information. Do not use it as a substitute for legal advice. Any attorney general opinions cited are available from the League’s Research staff.

Learn about options for reducing staff through furlough, temporary or indefinite layoffs. Determining positions to eliminate and considerations raised by labor contracts, veterans’ preference laws, early retirement incentives and voluntary termination programs. Assessing your benefit responsibilities. Considerations in recall of employees. Use of alternatives to staff reduction such as hiring or wage freezes, use of voluntary unpaid leave, and reduction in work hours.  Resources for helping employees with job loss.

Use these model documents with the discussion on “Layoffs and HR Cost-Saving Measures”:

• Early Retirement Incentive for All Employees, LMC model policy (doc)
• Early Retirement Incentive for a Group of Employees, LMC model resolution (doc)
• Furlough or Layoff Letter, LMC model form (doc)