Results 1 to 7 of 7

Hybrid View

  1. #1
    Join Date
    Oct 2017
    Posts
    1

    Default My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    My question involves labor and employment law for the state of: MO
    My employer (a non-profit) has told me they want to lay me off for position elimination in next calendar year .
    Now they sent me a separation contract indicating that I am resigning and that I am giving up all legal recourses.
    Can they do that? Should i request a lay off contract instead and what are the implications? what should I do?
    thank you

  2. #2
    Join Date
    Dec 2009
    Location
    Lake Chapala
    Posts
    3,043

    Default Re: My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    What are they offering to give you in exchange for signing the contract?

    (Please note that "separation contracts" "layoff contracts" and "resignation contracts" are not legally required, and in fact 99% of employers don't do this sort of thing..at all, ever. So it's very suspect.)

  3. #3
    Join Date
    Feb 2008
    Posts
    1,179

    Default Re: My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    I suspect this is a waiver/release of claims that is very common in severance packages. Are they giving you something of value ( $s) to sign it in return? Does it say you have 7 days after signing to revoke it? Does it say you are advised to have an attorney review it and that you have 21 days (if under40 yrs of age) or more for that review process? (those are the common parts to a waiver). Do you have any reason to believe you have any type of legal claim (wage, age, etc) as to why you were chosen to layoff? If not and you have run it by an attorney of your choosing, many times it is best to sign to get the $s. The employer giving you this waiver does NOT mean they are doing anything illegal that you would have a claim for. Just that they want to get something for the $s severance they are giving you.

    Generally a waiver however can not give up the right to unemployment benefits or any type of workers compensation claim you might have had though. So even if you "resign", you still might be able to prove you deserve unemployment. Especially if you have other communications regarding them laying you off. However, the severance might possibly be counted as earned wages for a specific time before UI benefits would start.

    You might read through this: https://legalaidatwork.org/factsheet...-legal-claims/ just to get a better understanding

  4. #4
    Join Date
    Dec 2009
    Location
    Lake Chapala
    Posts
    3,043

    Default Re: My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    Quote Quoting hr for me
    View Post
    I suspect this is a waiver/release of claims that is very common in severance packages.
    That's what I was getting at when I asked OP what they were offering him in exchange for signing this "contract". But instead of responding, he waited about 10 minutes and then left the site. Hmmm...

  5. #5
    Join Date
    Oct 2006
    Posts
    16,474

    Default Re: My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    Quote Quoting manfaf
    View Post
    My question involves labor and employment law for the state of: MO
    My employer (a non-profit) has told me they want to lay me off for position elimination in next calendar year .
    Now they sent me a separation contract indicating that I am resigning and that I am giving up all legal recourses.
    Can they do that? Should i request a lay off contract instead and what are the implications? what should I do?
    thank you
    Personally I would not sign it...not unless a significant amount of money goes with it...more than you could collect on unemployment.

  6. #6
    Join Date
    Oct 2016
    Posts
    4,301

    Default Re: My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    If you sign that document it will make getting unemployment difficult at best and impossible at worst.

  7. #7
    Join Date
    Jan 2015
    Posts
    1,142

    Default Re: My Employer is Laying Me Off but Asking Me to Sign a Resignation Contract

    Quote Quoting PayrolGuy
    View Post
    If you sign that document it will make getting unemployment difficult at best and impossible at worst.
    And your receiving unemployment benefits causes the employers tax rate to go up. This costs them money. Therefore they'd like to get you to agree that you are "resigning." That means you are out of a job THROUGH YOUR OWN CHOICE, which is not the case here at all. They're trying to cheat on their unemployment requirements, to your detriment. Why on earth should you agree to this?

    Even if you sign a statement saying you don't want unemployment, that you agree to say you resign, you should immediately file a claim for benefits, though it will definitely make it more difficult if you decide to lie like this to get severance or whatever it is that they are offering you. I probably wouldn't do it.

    It's not going to 'hurt your reference' if you are terminated instead of resigning. Being downsized or having your position eliminated is something that happens to people all the time, and it is illegal for a company to ask employees to sign away their rights to unemployment, as it would be illegal to have people sign a waiver that they "didn't want" to receive minimum wage or you agree to being sexually harassed or something like that. You cannot sign away your protections under the law.

    But meantime, I would not sign this, unless signing it got me a considerable severance package, and then I'd immediately take that letter agreeing to do this, and file a claim for unemployment benefits immediately, showing them this letter. They'll tell you how to deal with severance money and get your claim going, do not worry about whether to file if you get severance, just go on and do it, and let them tell you how they will deal with the severance if you receive any.

    1. Sponsored Links
       

Similar Threads

  1. Layoffs and Reductions in Force: What Can You Do if Your Employer Gives You a False Reason for Laying You Off
    By H Ercule S in forum Employment and Labor
    Replies: 2
    Last Post: 12-24-2015, 12:02 PM
  2. Resignation: Asked to Sign a Resignation Letter
    By ksdj in forum Employment and Labor
    Replies: 3
    Last Post: 08-30-2011, 06:56 PM
  3. Resignation: Employer Wants Me to Sign Resignation Letter
    By angrynurse in forum Employment and Labor
    Replies: 4
    Last Post: 02-25-2011, 09:40 AM
  4. Non-Compete Agreements: Do I Have to Sign a Contract with an Employer Who is Probably Bankrupt
    By Saffiyah in forum Employment and Labor
    Replies: 1
    Last Post: 11-03-2008, 02:49 PM
  5. Compensation and Overtime: Early Resignation from Employer with a Signed Contract
    By Noah382 in forum Employment and Labor
    Replies: 2
    Last Post: 08-10-2007, 06:15 AM
 
 
Sponsored Links

Legal Help, Information and Resources