Work Rules for Furloughed Employees

The term “furlough” has become a common thing in this modern era. It refers to a situation where an employee is absent temporarily from work, usually without getting paid, which may be asked by the employer due to a few cases, such as economic conditions, business downturns, or other operational challenges. While on furlough, the employment status of the furloughed employees remains the same. However, it is a must for them to follow certain work rules that define what they can and cannot do during this period.

If you are someone who was just told by your employer to be a furlough employee, you should know your work rules. Then, what are the work rules for furloughed employees? Find out the answers to the question below.

Definition on Furloughed Employees

Furlough is defined as a mandatory leave of absence given by the employers to the employees. They are given such a thing due to a few things, such as insufficient work, lack of budget or budget approval, business reorganization, slow economic condition, or unexpected things, such as COVID-19 pandemic.

In the military, there is also furlough. This one is for service members who are leaving their post for a certain period of time. These service members usually do not receive new assignments yet. Talking about the time period, this one is usually approved by authorities before they get furloughed. During the furlough, they should not expect to be paid as they will not get anything.

Differences between Furloughs and Layoffs

Many people think furlough and layoff are the same. While they are similar, in fact, these two are two different things. Check out the differences between these two below.

• • A furlough is just a temporary leave of absence, meaning there is a chance of a furloughed employee to return to their job after this period, which can be anytime depending on the employer’s wish. Furlough is usually pushed by a situation when an employer does not want to lay off their employees while they are having a hard time financially or when they need to save their budget. During the time, their status will remain the same, which is as the employees. However, they will not get paid by the employer. Besides, the employees will also not be able to do any work on the behalf of their employer. Unlike furlough employees who can return to their jobs after their furlough ends, lying off employees cannot do it because they have been permanently dismissed.
  • A furloughed employee gets to keep their benefits. During furlough, they are usually able to get access to any health and life insurance. Depending on the state they live in, they may also be eligible for unemployment benefits as furloughed employees. On the other hand, laid-off employees will not be able to keep their benefits. However, it is possible for them to continue receiving benefits under the Consolidated Omnibus Budget Reconciliation Act or COBRA. It should be noted that there is no way for the furloughed employees to be eligible for COBRA, except if they lose group health coverage. In this case, the employer has to issue COBRA notice and give permission to the affected employees to elect COBRA continuation coverage.
  • If the public employees get furlough, they will still be able to get their employment rights. There is no way for them to be fired or replaced without process. After the furlough, they will be able to return to their position if they want to and if the position still exists. In contrast, if those who work in government are laid off, they should say goodbye to their positions forever as there is no way for them to come back.
  • For the employers, furlough is better than lay off because it is much easier. The process of laying off employees is not easy, expensive, and may be complicated. It can take a long time too, just like hiring new employees. During the process, a significant amount of paperwork may be needed. On the other hand, a furlough only requires notice to the affected employees and a furloughed employee can come and go easily.

Duration of Furlough

For anyone who is wondering about the duration of furlough, the answer may vary as it depends on the conditions that the employer has. For example, if the employer instructs the employees to furlough to meet budgetary allocations, the furlough may not last for a long time. It may only last for a week or so of mandatory unpaid days off work. However, if the reason for the furlough is because the store is damaged due to fire, it may take a long time as the store has to be rebuilt.

Usually, those who work in some industries will get seasonal furloughs. For example, the employees of hotels or theme parks. They may get furlough because their workplaces may scale down their operations during off-season.

Just like private companies, government employees can also get furlough. Usually, it is due to lack of funds. During the furlough, the government agency tends to pause its functions. It will usually come to an end when the legislature votes to release funds necessary to resume work and pay employees.

Work Rules for Furloughed Employees

There are a few work rules that should be followed by furloughed employees, as follows:

1. 1. During furlough, the furloughed employees must leave all work for the company, even though their status is still the employees. If their employers ask them to work, they can agree to it as long as they get paid for their time. If the employers refuse to pay, they can refuse to work. For those who are wondering about the payment, it depends on whether the employee is a salaried or hourly employee. If the employee is a salaried one, they must get paid for the full week at their current rate, no matter how much work they do. For instance, an employee is a salaried employee and they are asked to answer a number of emails in the evening. In this case, this employee deserves to be paid a full week as if they had worked for the whole days of the week. As for the hourly employees, they will have to be paid for the certain amount of time they worked at the current rate. Sometimes, employees inadvertently work that requires payment. In order to prevent the same case from happening again, many companies usually close the access of the employees to the company equipment or online accounts during the furlough. If the employees are forced by the employers to work without getting paid during furlough with the bait that if the employee does it, they will be prioritized to be called back and those who refuse will be laid off, they may be entitled to get compensation.
   2. Furloughed employees can look for a new job. This can be a loss for the employer as they may lose talented people. During the process of seeking new employment, they may still be bound to policies of the employer regarding outside employment and or second jobs.
   3. Aside from the right to seek employment, furloughed employees also have the right to learn new skills, take courses, and obtain certifications.
   4. Employees who are furloughed have to maintain their professionalism. Remember that their status is still the employees of the company and they should represent their company positively.
   5. As they are still the employees of the company, the furloughed employees should maintain communication with the representatives of the company. Please stay updated on any changes or new things.
   6. As furloughed employees, meaning they have the chance to get called again, they always have to be ready when the employer asks them to come back to the company and work again.
   7. Regarding the benefits, everything has been explained above.
   8. Depending on the employer policy, the furloughed employees may be able to use their paid time off during a furlough.

Bottom Line

In conclusion, furlough can be challenging for not only the employees but also for employers. However, if both of them understand the rules and regulations and manage to have an open communication, they will be able to go through this without any issue. The furloughed employees should try to enjoy their furlough by exploring professional development, network, and consider temporary alternative employment. However, they should also remember the furlough policy of restrictions of their current employer.