By Hillary Pettegrew, Esq.
Many colleges and universities are being forced to reduce staff to stay afloat. But layoffs carry risks if they are rushed or poorly planned. These risks include lawsuits, reputational damage, and broken trust with employees and the broader community.
Why this Matters
Even in crisis, institutions are bound by laws, contracts, and collective bargaining agreements. Layoffs handled without care invite legal action and long-lasting cultural fallout. Leaders who take the time to plan with legal, financial, and human considerations in view can help protect their institutions and treat employees fairly.
"Layoffs handled without care invite legal action and long-lasting cultural fallout."
STEP 1: CALL COUNSEL FIRST
Skipping legal review can be a costly mistake. Before moving layoff plans forward, consult experienced employment counsel—ideally someone who has guided schools through reductions in force.
Key areas to cover:
Federal, state, and local employment laws, especially those prohibiting discrimination
Wage-and-hour rules under the Fair Labor Standards Act (FLSA) and state equivalents
Union rules under the National Labor Relations Act (NLRA)
Severance, retirement, and benefits under the Employee Retirement Income Security Act (ERISA) or state systems
Immigration laws that may affect employees on visas
The Worker Adjustment and Retraining Notification (WARN) Act and state equivalents, which may require written notice before mass layoffs
A thorough legal check also means reviewing faculty handbooks, employee contracts, discrimination policies, severance policies, and appeal rights. These documents often dicta