I worked as a new car salesman in a car dealership. I was laid off as of June 03, 2008. I have recently discovered that the dealership has hired a sales person to work in the new car department. Do I have any recourse with the dealership?

That depends on a lot of factors. Contact an attorney,and do an intake. The post is way to short to answer that question. An intake takes 15 to 30 minutes.
JoeC

On my Seperation Report, the reason marked is Layoff. The explaination states "Employee is at will and his services are no longer needed."

Thats standard stuff if you were fired for a reason protected by law they are not going to write it. For example if you are over forty they are not going to write terminated for being to old.
JoeC

Thank you for your replies