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Ask HN: How do layoffs in the US work?

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Re: Ask HN: How do layoffs in the US work?

#11

Post by legitster »

spacedcowboy wrote: post #7
PopAlongKid wrote: post #4

Earlier quoted context omitted.

> your medical coverage is usually (and by usually, I means pretty much always) tied to your employment. That has not been true for ten years now, with the implementation of the Affordable Care Act (aka Obamacare). It used to be that pre-existing conditions tied you strongly to continuous employment (except for periods of COBRA coverage avaialble), but those are no longer grounds for denying you new coverage. And if…

> And if your income has dropped a lot, most if not all of the coverage will be subsidized by the government This seems to be very location-dependent. Most states will be reasonably generous and extend Medicaid coverage to you. Some will not. Even when you have Medicaid coverage, it's still a crap-shoot whether a Dr. will take you on as a patient. Hospitals will, in general, but there's plenty of Dr's offices with "N…

> COBRA is an utter joke. If you've just lost your job, how are you supposed to afford $1750/month [1] for medical insurance for your family ?

Agreed. But that's how much your employer was paying.

I'll die on the hill that the US medical system would be so much better if we just gave that cash to everyone instead.

Re: Ask HN: How do layoffs in the US work?

#12

Post by drakonka »

legitster wrote: post #10

> Are unlimited contracts not that typical in the US? I had to look this up. This is definitely not a thing in the US. Why would a company even offer that? Also, the US you can basically leave a job whenever you want. > from what I read here in the US it is perfectly normal to wake up and find out you've been fired Maybe a cultural difference here, but why would you want it any other way? If I'm notified that I'm goi…

> If I'm notified that I'm going to be fired in 4 months, why would I bother showing up to work those 4 months? You may as well fire me now and pay me the 4 months' salary.

Are companies obligated to pay out 4 months' salary if they fire someone?

Re: Ask HN: How do layoffs in the US work?

#13

Post by legitster »

drakonka wrote: post #12
legitster wrote: post #10

> Are unlimited contracts not that typical in the US? I had to look this up. This is definitely not a thing in the US. Why would a company even offer that? Also, the US you can basically leave a job whenever you want. > from what I read here in the US it is perfectly normal to wake up and find out you've been fired Maybe a cultural difference here, but why would you want it any other way? If I'm notified that I'm goi…

> If I'm notified that I'm going to be fired in 4 months, why would I bother showing up to work those 4 months? You may as well fire me now and pay me the 4 months' salary. Are companies obligated to pay out 4 months' salary if they fire someone?

No. That was just an example. But severance is pretty universal in the US: https://www.shrm.org/resourcesandtools/hr-topics/compensatio...

Re: Ask HN: How do layoffs in the US work?

#14

Post by drakonka »

legitster wrote: post #13
drakonka wrote: post #12

Earlier quoted context omitted.

> If I'm notified that I'm going to be fired in 4 months, why would I bother showing up to work those 4 months? You may as well fire me now and pay me the 4 months' salary. Are companies obligated to pay out 4 months' salary if they fire someone?

No. That was just an example. But severance is pretty universal in the US: https://www.shrm.org/resourcesandtools/hr-topics/compensatio...

The first sentence of that article says "While almost all U.S. businesses (97 percent) say they offer some form of severance to workers, only 55 percent had formal, written severance policies last year, a decline from 2011, when 65 percent had formal severance policies."

That seems very not universal. Just because a company says something doesn't mean it follows through, and if it's not formalized it's worthless. A longer notice period both ways seems preferable. Besides, in the EU it is common to take paid leave for a large chunk of that notice period so in addition to having time to tie off loose ends and leave on good terms, you often don't have to work out that whole chunk of time if you don't want to.

Re: Ask HN: How do layoffs in the US work?

#15

Post by tdeck »

salawat wrote: post #2

Basically, if you're salaried (Full-time employee) and an executive gets a hair and decides to pivot, then layoffs'll happen. Basically, it's your employer looking at financial prospects and going "We no longer have need of your services." It is generally coupled with a severance package, which if taken delays your eligibility to avail yourself of your State's unemployment benefits. Many states are at will employment…

> gets a hair

Is this an expression?

Re: Ask HN: How do layoffs in the US work?

#16

Post by tdeck »

drakonka wrote: post #14
legitster wrote: post #13

Earlier quoted context omitted.

No. That was just an example. But severance is pretty universal in the US: https://www.shrm.org/resourcesandtools/hr-topics/compensatio...

The first sentence of that article says "While almost all U.S. businesses (97 percent) say they offer some form of severance to workers, only 55 percent had formal, written severance policies last year, a decline from 2011, when 65 percent had formal severance policies." That seems very not universal. Just because a company says something doesn't mean it follows through, and if it's not formalized it's worthless. A l…

Also worth noting that a company's formal written policy isn't binding on the company unless it's part of a contract with the employee (which it almost never is).

Re: Ask HN: How do layoffs in the US work?

#17

Post by HeyLaughingBoy »

You're missing that most US workers aren't under contract. You may also be missing that if I decide I'm tired of my job, I don't have to go in on Monday. I don't even have to tell them I'm quitting: I can just mail their laptop back to them and stop communicating. Eventually, they'll figure out I'm not coming back, and send me a termination letter along with my last paycheck.

[edit] While it's certainly rude, there is effectively no downside to me doing this.

> perfectly normal to wake up and find out you've been fired

I should add that this is by no means "perfectly normal." In fact, the reason it makes the news is that it isn't. Most people will have at least some inkling that they're about to be fired or laid off.

Re: Ask HN: How do layoffs in the US work?

#18

Post by anon291 »

In tech sector... You will realistically be given a few months of pay and benefits and maybe a bonus payout (sometimes with conditions). That's really it. They call you in and tell you to hand back your laptop.

Realistically, assuming the job market is otherwise good and you're reasonably skilled, it'll be like a few weeks vacation, at least in retrospect. The times I've been laid off have been some of the nicest most relaxing times of my life, if I look back. Of course no one likes it and I'm not sure I'd want to be laid off in this job market.

Re: Ask HN: How do layoffs in the US work?

#19

Post by anon291 »

salawat wrote: post #2

Basically, if you're salaried (Full-time employee) and an executive gets a hair and decides to pivot, then layoffs'll happen. Basically, it's your employer looking at financial prospects and going "We no longer have need of your services." It is generally coupled with a severance package, which if taken delays your eligibility to avail yourself of your State's unemployment benefits. Many states are at will employment…

> which if taken delays your eligibility to avail yourself of your State's unemployment benefits

It really depends on how it's structured and which state.

Re: Ask HN: How do layoffs in the US work?

#20

Post by [deleted] »

drakonka wrote: post #14
legitster wrote: post #13

Earlier quoted context omitted.

No. That was just an example. But severance is pretty universal in the US: https://www.shrm.org/resourcesandtools/hr-topics/compensatio...

The first sentence of that article says "While almost all U.S. businesses (97 percent) say they offer some form of severance to workers, only 55 percent had formal, written severance policies last year, a decline from 2011, when 65 percent had formal severance policies." That seems very not universal. Just because a company says something doesn't mean it follows through, and if it's not formalized it's worthless. A l…

[deleted]
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