What does it mean to be furloughed?

Wednesday, April 1, 2020

Michael Schmidt talked with CNN about why a company may do a furlough and what furlough workers should need to know. Furloughing workers is a cost-saving move that can help a company weather a rough patch. The decision is usually temporary with the hope that workers will eventually be brought back once economic conditions improve. It can also be good for morale. "If they are expecting it to be much more temporary and short term, it is easier to bring folks back than it is to go through the rehire process," said Michael. Furloughed employees are not supposed to work during their time off and, unless you are contractually obligated to a company, you can still look for another job while being furloughed. Also, employers cannot discriminate when it comes to who gets furloughed. "Companies want to make sure they are not discriminating or retaliating in their employment decisions, including who is getting furloughed and who is not," he said. "If it's not the entire workforce, make sure there is legitimate business interest in making the selection."

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