Layoffs Gone Wrong

I have been waiting for a gap in my practice with no pending claims about a layoff gone wrong. Honestly, I have been waiting for over two years, and there has been no gap, so I am taking the plunge and writing this blog post now.

Why are there so many claims involving layoffs? Because employers consistently think that having a legitimate business reason for a layoff is enough to avoid and ultimately win a legal claim. Well, sorry to be the bearer of bad news. It isn't enough to have a good reason (even if it is the real reason) — you have to be in a position to prove it.

So, how do you prove that your layoff is legitimate? Here are some tips:

• First, have someone vet the decision to test whether it passes the "smell test." That person can be Human Resources, internal legal counsel, or outside counsel, but someone really has to dig into the facts and make sure that the proposed business justification is legitimate. And by the way, digging into the facts is not