this post was submitted on 13 Jan 2024
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It's the difference between nothing and severance.
Depends on the state and how they were hired. It could be unemployment benefits, penalties for breaking a contract, or to avoid being sued if they mostly fire people in a protected class. For the employee it is most likely severence or unemployment.
Using performance is a catchall way to avoid the possible negative outcomes for the company. All they have to do is use the metrics that result in firing the people they planned on firing anyway!
In all 50 states, firing someone with cause without cause to avoid paying them benefits is illegal.
Sorry I'm having a hard time understanding what you wrote. Specifically the 'with cause without cause' part
Firing someone by lying and saying there was a performance issue, so the company can avoid the costs associated with layoffs is against the law.
With cause (lie) without cause
Lying about firing someone with cause is illegal. If you’re firing someone without cause, but claiming that it’s with cause so they can’t claim unemployment. Because the company’s unemployment insurance rates increase if too many of their former employees claim it. So the company has a vested interest in avoiding layoffs without cause, because it means their UI payments will skyrocket.
So lots of companies will fabricate a reason to fire someone with cause, rather than laying them off without cause. It’s blatantly illegal, but it’s up to the employee to prove. And many former employees won’t bother with the appeals process, because UI in many states is already notoriously difficult to claim to begin with. So the company is able to get away with it. When people complain about white collar crime going unpunished, this the kind of shit they’re referring to; Companies blatantly stealing from people, then not being prosecuted for it.
Firing someone "with cause", but without any real actual reason (cause), is illegal.