2020 – 04/15 – What are the key distinctions between layoffs and furloughs?
Wolff and Taylor April 17, 2020 No Comments Share
Small Business17 Apr
As businesses across the country grapple with the economic fallout from the coronavirus (COVID-19) pandemic, many are facing the difficult choice of whether to lay off employees or furlough them. Layoffs are the ostensibly permanent termination of employees, while a furlough is a mandatory or voluntary suspension from work without pay for a specified period. Before furloughing workers, investigate whether you need to remit a “final” paycheck and how medical coverage is affected under COBRA and the Affordable Care Act. If you’re a midsize employer thinking about layoffs, be sure to comply with the Worker Adjustment and Retraining Notification Act.
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