Robert Nobile and Sarah Medway Published in HR Advisor
"Alternatives to RIFs: Saving Money Without Losing Employees"

Robert Nobile and Sarah Medway's article "Alternatives to RIFs: Saving Money Without Losing Employees," was published in the March/April 2009 issue of HR Advisor. Their article discusses how companies across the country are implementing staff reductions and/or formulating plans to reduce their workforces in an effort to cut costs and ensure their survival. According to Bob and Sarah, "While a reduction in force (RIF) is sometimes completely necessary and unavoidable, it presents its own set of problems for a company." For example, the authors note that a RIF could produce negative publicity, decreased employee moral, or even a potential legal liability.

In their article, Bob and Sarah address certain alternatives to layoffs, such as: reductions in salaries, wage freezes, transformation of full-time positions to part-time ones, implementation of a job-sharing program, and use of furloughs. They advise, "All of these strategies must be implemented with careful attention paid to relevant federal, state and local laws. But if executed prudently, these methods may present the perfect solution for a company to weather this economic storm, while maintaining, in large part, the bulk of its workforce."

Bob and Sarah conclude that there are several ways an employer can avoid constructive discharge claims when implementing alternatives to RIFs. They explain, "First, if the RIF alternative is being implemented voluntarily, the employer should stress the voluntary nature of the program every step of the way. Employees should also be given adequate time (at minimum, two weeks) to consider whether they would like to participate in the program." Finally, they advise that the "employer should also thoroughly document the rationale for the implementation of its alternative program."