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In the Federal Government, layoffs are called reduction in force (RIF) actions. When an agency must abolish positions, the RIF regulations determine whether an employee keeps his or her present position, or whether the employee has a right to a different position.
How to Conduct a Layoff or Reduction in Force Step 1: Select Employees for Layoff. Step 2: Avoid Adverse Action/Disparate Impact. Step 3: Comply with WARN Act Regulations. Step 4: Determine Severance Packages and Additional Services. Step 5: Review Older Workers Benefit Protection Act (OWBPA) Regulations for Compliance.
Reduction in force (RIF) is when a company permanently eliminates job positions, often on a large scale and usually as a cost-saving measure. Companies turn to RIFs for various reasons (e.g., economic downturns, company restructuring, lack of work, or downsizing) so they can cut labor expenses and remain profitable.
Checklist: Reduction in Force (RIF) Strategy and Selection Identify Desired Goals/Objectives. Draft a Downsizing Plan. Selection for RIF. Review Federal and State Worker Adjustment and Retraining Notification (WARN) Act Regulations to Stay Compliant. Determine Severance Packages and Employee Communication Process.
Layoff: A type of reduction in force where an employee is separated from employment due to no cause of their own and is not deemed a disciplinary separation. E. Salary Reduction: A type of reduction in force where an employees salary is lowered to conserve funds.
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