The University of California, Santa Barbara is committed to creating a healthy and supportive environment for each employee and to administering all policies fairly and equitably. It is the policy of the University to minimize layoffs required by budget reductions and to consider staffing reductions only after other creative solutions have been considered.

While other possible alternatives may be explored, you may face a situation where it is necessary to reduce staffing levels in your department due to lack of funds or lack of work, including lack of work due to reorganization. This website is a resource for managers and supervisors to get answers to basic layoff questions and guidance on implementation. However, management is required to consult with Employee & Labor Relations prior to implementing a layoff.  Please contact Employee & Labor Relations through HR ServiceNow at least 90 days in advance of the planned layoff effective date.

 

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Making the Layoff Decision

If your department has a lack of work or lack of funds that makes it necessary to reduce staffing levels, please review the following questions as part of your preliminary decision making process before contacting Employee & Labor Relations(link is external).

Is the decision based on lack of work, lack of funds or both?

If you have a budgetary or operational considerations that make it necessary for you to reduce hours, workload, reorganize or otherwise reduce your staffing, you may need to implement layoffs. If your budgetary or other issues are not permanent, you may consider temporary layoffs or reductions in time. (Please see the layoff definition section if you are unfamiliar with these terms.) As part of your planning, consider how you will reassign any remaining work or identify those duties/tasks that will be discontinued.

However, layoff is not an alternative to corrective action or discipline. If you are frustrated with an employee’s performance, attendance or conduct, that is insufficient basis for a layoff. Your department must have evidence that supports the need for the layoff based on lack of work or lack of funds.

Are there other options besides layoff of career employees?

If you have limited employees or student-staff positions, will eliminating those positions resolve your workload or funding issues? Some of the collective bargaining agreements require that management review the necessity for existing limited appointments and student-staff positions prior to laying off a career employee.

Have you considered opportunities for transfer or reassignment of the employee in lieu of layoff? Are there other positions within your department or division that the employee may fill to avoid a layoff? Please work with Employment and Compensation to insure proper transfer or reassignment of an employee to avoid a layoff.  

Which positions are subject to layoff?

In general, layoffs are determined based on seniority, i.e., the least senior employee in the same department, in the same classification/title code, will be subject to layoff first. Seniority is calculated based on total years of University service (without a break in service) and not just service in your department or the current position. Because seniority for the purposes of layoff is calculated by fulltime-equivalent months (or hours) of University service, you may need to use information from the Data Warehouse to calculate seniority. If there is only one employee in the classification/title code in your department, seniority is not an issue.

Note: Managers & Senior Professionals are NOT subject to layoff.  Managers and senior professionals (MSP) holding career appointments in salary grades I through VII may be terminated when, in management's judgment, the needs or resources of a department or the performance or conduct of an employee do not justify the continuation of an employee's appointment. There are no layoff policy provisions for MSP’s. Please contact Employee & Labor Relations(link is external) for assistance in terminating or releasing a manager or senior professional.

 

What are the timing and notice requirements for a layoff?

Employees are generally entitled to 30 or 60 days advance written notice PRIOR to the effective date of a permanent layoff decision. (Timeframes are shorter for temporary layoffs.) You need to allow time for Employee & Labor Relations to review and approve your layoff plans as well as time for you to secure layoff authorization from your Control Point. Therefore, you should allow at least an additional 30 days planning and review time prior to the 30 or 60-day notice requirement. There are no exceptions or ‘short-cuts’ that allow for immediate or reduced notice periods, so advance planning is critical, particularly for grant funded positions.

Have you factored severance pay into your planning?

Depending on the applicable University policy or collective bargaining agreement, an employee may have choices regarding severance pay as part of the layoff process. Non-represented employees (99) have the option to waive severance pay in exchange for right to recall and preferential reemployment. Represented employees, generally, have the option to waive right to recall and preferential rehire in exchange for severance pay. In all cases, the decision to waive rights under the applicable policy or collective bargaining agreement is up to the employee, not the department. (Please see the definition section if you are unfamiliar with these terms.) In most cases, employees are entitled to one week of pay for every full year of University service, up to 16 weeks. Pro-rated severance may apply to reductions in time. Some represented employees have combination severance options. Therefore, you will need to factor in potential severance pay, in addition to the 30 or 60-day notice period, as part of the budgetary planning for a layoff. Employees subject to layoff will also be paid out any remaining vacation and compensatory time in the final paycheck.

Have you discussed your layoff plans with your Control Point?

If you believe layoffs may be necessary, please have a preliminary conversation with your Control Point to discuss your reasons for the layoff and explore other options. You will need to provide Employee & Labor Relations with written authorization from your Control Point before implementing a layoff.

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Implementing a Layoff

If you have completed your review and planning process and determined that layoff is necessary, please review all the steps under "Making the Layoff Decision" above before contacting Employee & Labor Relations to review your layoff proposal. Information about Employee & Labor Relation’ review process is detailed below. After Employee & Labor Relations reviews and approves your layoff proposal, you will need to provide written authorization from your Control Point before you can issue the layoff notices.

Employee & Labor Relations Review Process

What is involved in Employee & Labor Relation’s review of your layoff plans?

  • We will review your layoff plan and confirm that the appropriate person(s) has been identified based on seniority or other policy factors.

  • We will review your plan for reassigning or discontinuing the employee’s workload.

  • We will advise you on the notice requirements and severance options related to the employee subject to layoff.

  • We will review your options with regard to having the employee continue to work or be on approved leave of pay during the notice period.

  • We will advise you on communicating the layoff decision to the affected employee as well as other employees in your department.

  • We will review any requests for exception to seniority or potential for waiver of seniority. In some situations, a more senior employee may waive their rights and agree to being laid off out of seniority or departments can request an exception to seniority based on special skills, knowledge or ability. (Please see the layoff definition section if you are unfamiliar with these terms.)

  • Employee & Labor Relations may request the following documents during the review:

  • Current department organizational chart and proposed changes due to layoff

    • Overview of employee’s duties and plan for reassigning or discontinuing those duties

    • For multiple employees in same position/title, bring a staff list based on seniority order.

Preparing the Layoff Notice

After review and approval by your Control Point and Employee & Labor Relations, Employee & Labor Relations will provide you with the required layoff notice template and severance form based on the applicable University policy or collective bargaining agreement.  The notice must also include information related to Benefits, below.  Remember: you are required to consult with Employee & Labor Relations PRIOR to issuing layoff notices to employees.

 Please send copies of all final notice documents to Employee & Labor Relations as soon as possible after issuing notice to the employee. If the employee completes the applicable severance/right to recall form, please immediately send a copy of the form to Employee & Labor Relations.

Rescind Layoff or Extend Layoff Date

If you need to change/extend the layoff effective date or later determine that a layoff or reduction in time is no longer necessary after notice is given, contact Employee & Labor Relations to review the change in circumstance and advise on appropriate follow-up notification to the employee.

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Communicating the Layoff Decision

Good communication is absolutely critical in the planning and implementation of layoffs. While the information you have to present is not pleasant, employees must hear it directly and honestly from management.

Telling employees that they are going to be laid off is never an easy task. You may experience anxiety and guilt about having to take the action. Recognize that these feelings are normal. Making sure that you treat the employee humanely and compassionately will help to make this difficult situation more tolerable for both of you.

Preparing for the Conversation

Coordinate with Employee & Labor Relations in developing a communication plan on how and when to communicate to management and staff about impending layoffs.

Prepare for the next steps:  Discuss logistical considerations such as last day of work and the return of keys, etc.

Be ready emotionally: Remember that you are not personally responsible for the layoff/reduction in time. Schedule an appointment with ASAP if you need help dealing with your own personal feelings about laying off an employee.

Prepare for the employee’s reaction: The employee may be upset or angry. He/she may blame you. Anticipate such a reaction so that you can be prepared to handle it in the best possible way.

Do’s and Don’ts

DO

  • Speak to the employee in a private place.

  • Get right to the point

  • Recognize the employee’s contribution to the unit and to the University

  • Briefly explain the reasons for the layoff

  • Listen to the employee and wait for a response

  • Restate the message if necessary

  • Describe the assistance that Human Resources offers

  • Explain the importance of meeting with someone in the Employment unit and the Benefits unit

  • Give the employee the layoff letter

  • Clarify the termination date

  • Offer support and a sympathetic ear; listen without being defensive

  • Schedule a later meeting to discuss logistics such as turning in keys, etc.

  • Be available to address the employee’s issues and concerns about the layoff

  • Be available to address the employee’s issues and concerns about the layoff

DO NOT

  • Engage in small talk

  • Use humor

  • Be apologetic

  • Threaten or argue

  • Identify others being laid off

  • Try to minimize the situation

  • Take the employee’s anger personally

Reactions you may expect from employees

When you tell an employee that he or she is being laid off, the initial reaction may be shock. The employee may say nothing, or the employee may become upset. Although you can’t anticipate every employee reaction, preparing yourself for various responses may help you.

Reactions you may encounter from an employee being laid off:

  • Shock/Silence

  • Disbelief

  • Negative attitude toward work

  • Excessive absenteeism

  • Increased accidents

  • Fear

  • Loss of productivity

  • Grief

  • Helplessness

Reactions you may encounter from remaining employees:

  • Shock/Silence

  • Anger/Blame

  • Frustration

  • Negative attitude

  • Insecurity

  • Resistance to change

  • Unintentional sabotage by resisting organizational change

Communicating with other employees in the home department

It is your responsibility to respond to the feelings of the remaining staff and to communicate a positive image for the future. While the specific information about a layoff is a confidential employee matter, other employees may be advised of the change in staffing and the implications, if any, for their own workload.  A series of meetings with individuals or work groups is a good way to ensure an ongoing safe place for communication.

Here are some important topics to discuss with other employees:

  • Acknowledge that it is normal to feel anxious during these uncertain times.

  • Describe the departmental reorganization and redefine roles.

  • Discuss any impact on workload/work flow.

  • Ask for suggestions for improving department effectiveness.

  • Assure staff members that no other positions will be affected at this time (if this is true) and that all employees are valued.

  • Mention that ASAP services are available for any employees having difficulty with the changes.

  • Maintain an open door policy so employees can come to you for guidance and support.

  • Recognize that employees differ on how quickly they can adapt to change.

  • Express optimism for the future.

  • End on a positive note; stress that staff members are valued and important.

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Layoff Definitions

Indefinite or Permanent Layoff

A layoff is an involuntary separation from employment due to budgetary or operational considerations. An indefinite layoff is a layoff for which no date for return to work is specified.

Temporary Layoff

A temporary layoff is an involuntary separation from employment for a specified period of time, generally 120 calendar days/ four months (specific terms depend on the applicable University policy or collective bargaining agreement). A temporary layoff that exceeds 120 calendar days/four months is treated as an indefinite layoff..

Reduction in Time

A reduction in time is a form of layoff and involves a reduction in the percentage of the employee’s appointment or regularly scheduled hours. A reduction in time can be either temporary or indefinite.

Preferential Rehire

Career employees who have been notified of indefinite layoff or reduction in time may be eligible for preferential rehire. Pursuant to the applicable University policy or collective bargaining agreement, employees with preferential rehire rights will receive first consideration for any career position, depending on qualifications and eligibility requirements.

  • If eligible, preference for rehire begins when the employee receives the formal written notice of indefinite layoff or reduction in time from the department.

Pursuant to the applicable University policy or collective bargaining agreement, preferential rehire status continues 1 to 3 years from the effective date of layoff.

Right to Recall

Career employees who have been notified of indefinite layoff or reduction in time may be eligible for right to recall. Pursuant to the applicable University policy or collective bargaining agreement, employees will be recalled in order of seniority to career vacancies in the same payroll title and the same department at the same or lesser percent of time as the position held at the time of layoff.

  • Recall rights extend for one to three years from the date of layoff, depending on the applicable University policy or collective bargaining agreement

  • Generally, rights to recall end if an employee:

    • Accepts a career position and completes the trial employment period, if applicable; or

    • Refuses to be recalled; or

    • Fails to respond to a written notice of an employment opportunity; or

    • Refuses two offers of employment for a career position at the same or higher salary and same percent of time as the position held at the time of layoff; or

    • Resigns or retires from university employment; or

    • Accepts a career position at the same or higher salary level and same or greater percent of time as the employee's original position.

Severance

Career employees who have been notified of indefinite layoff or reduction in time may be eligible for severance. Pursuant to the applicable University policy or collective bargaining agreement, employees may receive a lump sum payment of one week (5 workdays) of salary for each full year of service from the most recent break in service, up to a maximum of 16 weeks of base pay. Specific information about eligibility for severance will be included in the employee’s written layoff notice.

Exception to Seniority

In some circumstances, you may request to layoff an employee irrespective of seniority where a less senior employee possesses special skills, knowledge or abilities which are not possessed by other employees in same title. Your request for an exception to seniority must be reviewed and approved by the Manager of Employee & Labor Relations prior to making a final layoff decision.

Waiver of Seniority

In some circumstances, a more senior employee may request to be laid off out of seniority order. You may not solicit employees or otherwise recommend that they volunteer to be laid off out of seniority order. If an employee offers to be laid off out of seniority order, please contact Employee & Labor Relations (link is external)to insure compliance with the applicable University policy or collective bargaining agreement before accepting the employee’s offer.