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Navigating these uncertain times has been a work in progress for many. COVID has forced many companies to make tough decisions, and one of those has been to let some members of their staff go. There are different ways to go about this, and this blog will address the difference between being laid off versus furloughed. Additionally we will provide advice on how to get the latest jobs right at your fingertips, so that you can find you next opportunity.
Layoff versus furlough
Being laid off means that you are no longer on the payroll of the company and your relationship with your employer is terminated. Whereas, if you are furloughed that means that your relationship to your employer continues, but you will not be getting paid. Essentially, a furlough is a temporary unpaid leave. Furloughs usually occur when companies have financial setbacks or as a result of temporary emergencies.
Layoffs
usually occur when an organization has to quickly cut costs. Since employee salary and benefits are usually the most expensive in a company’s budget, layoffs are a quick way to reduce costs. With a layoff, although the employee is removed from the payroll, the employer usually has an intent to bring back the person in the future. Although layoffs can be temporary sometimes this is not the case and they can be permanent. It is important not to confuse a lay off with a reduction in force – this is when a position in completely removed and the company doesn’t intend to fill that role again.
Furloughs
A reason employers may choose furloughs over layoffs is because of the extensive administrative work that comes with layoffs. Since a furlough isn’t a terminated employee, there is no payout of vacation time required by state laws. By keeping everyone on a payroll with a furlough nothing needs to change. Other than the fact that they are on an unpaid leave of absence.
A furlough can be as short or as long as the employer decides and no work is to be done by an individual on behalf of the employer during this time. A furloughed employee has the right to look for other employment during this time. This is not ideal for employers as they are at risk of losing some of their top talent. Often times employee will seek temporary jobs during a furlough to receive a source of income. It is important that employees check with their company for rules/restrictions against second jobs or outside employment. Employers are allowed to enforce these type of policies throughout a furlough.
If you are looking for your next opportunity, you’ll want to have options at your fingertips. Here are some tips to help you find the latest jobs faster using your mobile device.
For more advice to help you reach your career goals – click here
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