Managing Statistical Risks In Reductions-In-Force

Law360, New York (June 4, 2008, 12:00 AM EDT) -- One of the results of slower economic growth and changing demand for products and services is more companies having to downsize or “rightsize” their work force. Whenever downsizing becomes a necessary business alternative, employers must be aware of the litigation risks associated with a reduction-in-force (RIF).

In addition to potential obligations under the WARN Act and other similar state statutes, companies may face increased Title VII and ADEA litigation risks. Therefore, an important step during a company’s RIF process is evaluating its risk for litigation....
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