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New Jersey Poised to Become First State that Mandates Severance for Lay Offs

1.13.20

The Garden State’s lawmakers approved a bill that would compel employers to give more notice and pay severance to laid-off workers. The bill, which only applies to employers with 100 or more full- or part-time workers laying off 50 or more people could be the first of its kind in the country. In an interview with The Washington Post, New Jersey attorney Alvaro Hasani said the bill could have broad consequences. For one, it could undercut employers’ ability to require a “release of claims,” or an agreement in exchange for severance pay that employees will not sue. While that has typically been standard, “what’s unclear is whether that can be a continuing practice given the law,” Alvaro explained. 

To read the full article, visit The Washington Post.

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