Hello, I'm in search of some advice…

On Monday September 4th (Labor Day and a company paid holiday) I was asked to join a 1 PM emergency company wide conference call, were on this call the CEO and President announced that as of the previous Friday, August 31st everyone in the company was fired.

It probably doesn’t matter but we could get our jobs back the next day, Tuesday, under a new operating entity and if we took a 30% paycut. We were all emailed new offer letters after the call and on Tuesday AM I went in and checked the “do not accept offer” box, gathered my belongings and left. (also they have offices in Phoenix and Virginia if that matters).

My problem: 1) shouldn’t the company pay me for the 4th since it wasn’t until about 1:30 PM that we were informed? Also NO ONE other than the CEO an President knew of this prior to the conference call there were NO actual changes in employment status (the COO, bookkeeper, benefits admin, etc. were just as shocked as I was and they had done nothing for this prior to the call).

2) I went to the dentist for some fillings the next week and I just found out the company canceled my insurance for September. I now have a $378 bill.

So… do I have a right to be paid and even recoup the dentist bill?

If so I thought I would start with a certified letter demanding full payment. Or should I just take it to the AZ Dept of Labor or small claims court or both??? ANY advice is GREATLY APPRECIATED!!!

THANK YOU for all your efforts on this site!!!

I would agree that you should be paid for the 4th, although whether you should be paid for the entire day or only the hours you worked is up for grabs.

You should be eligible for COBRA. If you accept it, your coverage will be reinstated retroactive to the cancellation date, at which time your dentist can resubmit the bill for payment. Your employer is still within the legal time frame for providing you with COBRA information. It IS legal to cancel your coverage during the time between your last day of coverage and the time you actually submit your acceptance of COBRA and your first payment (they may legally wait until they actually have your check in their hands).

I would agree that you should be paid for the 4th, although whether you should be paid for the entire day or only the hours you worked is up for grabs.



Just FYI, even an exempt employee can be paid only for hours worked on their last week of employment.

I know, which is why I worded it the way I did. Most employers will pay at least an exempt employee through the full day, but it is not a requirement.

Thanks for your input. I was salary, so if I wanted to chase the 4.5 hours of the day I go to the AZ Dept of Labor to file a claim, correct?

As to the insurance, I didn't know they could could cancel mid month. Glad to know this as I thought that if you worked one day in the month they had to pay the whole month's premium. And since the tried to "retro-actively" lay me off to the end of previous month this would let them cancel the whole month.

Thanks!

Also, I have my COBRA packet and its states:

"If you do not elect to continue your health coverage... your coverage under the plan will end on 8/31/07 due to End of Employment on 8/31/07."

It just I've been told on previous jobs and by other's in conversation that one day of work equaled full months bennies... that's why I went to the dentist the next week thinking I was ok.

Only in Texas does the law require that insurance benefits continue till the end of the month. In all other states, it's entirely up to the insurance contract. In my experience, which is considerable (26 years worth of experience) it's about 50% last day of employment and 50% last day of the month, generally.

Oh, if you want to file a wage claim you do it with the state DOL regardless of how you are paid.