Laid Off: Definition, Reasons, Consequences, & Employee Rights
Laying off an employee is a difficult decision that employers must make when faced with financial, operational, or organizational issues. It is the termination of employment, often without warning and can impact the employee's life significantly. Understanding the definition, reasons why employers lay-off workers, consequences for both parties to consider, and employee rights can help prepare employees for this unfortunate situation.
The definition of laid off is simply the end of employment due to circumstances that are out of one’s control: like downsizing as a result of financial challenges or changes in business operations. In most cases, employees who have been laid off are not eligible for unemployment benefits because they are not considered unemployed through no fault of their own; instead their employer had no choice but to let them go.
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