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Reduced hours &/or layoffs California

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  • Reduced hours &/or layoffs California

    Due to business being down, & trying to avoid layoffs, we alternately want to cut about 12 employees' hours by 3 hours a day. We have a total of 66 employees at this site in CA. Can we tell these employees that they cannot use vacation time to make up for their reduced hours? This doesn't seem right to me as vacation time is "money in the bank" and rightfully theirs.
    If they can use vacation time to supplement their pay, then this will not help the company in the present situation.

    If we have to layoff people, is there any notification period that we have to meet?

    thank you.

  • #2
    I can address some of your question. The "notice for layoff" question I am going to defer to someone else.

    I am going to include a pointer to the CA rules on vacation. Telling people per se to not take vacation is mostly not illegal on it's face. You should read the rules on the following factsheet, especially question #5.
    http://www.dir.ca.gov/dlse/FAQ_Vacation.htm

    You have a complication however. Legally Exempt Salaried employees have docking restrictions which could interfer with your plan for this class of employees only. Past that, it is often in the employer's advantage for Exempt Salaried employees only to be able to reduce vacation/PTO for time missed since the employer cannot often legally reduce the salary.
    "Reality is that which, when you stop believing in it, doesn't go away".
    Philip K. **** (1928-1982)

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    • #3
      Regarding the layoffs, in your case, the fed. WARN Act or the Ca. version would not apply re prior notification of any layoffs - you don't have enough employees.

      The only other way you might need to give prior notification of a certain period of time is if there is a binding employment contract or CBA which guarantees this.
      Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

      Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

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