Learn what furloughs and layoffs are to determine which one is best for your business.
- Furloughs and layoffs are common among businesses that don’t have enough money for payroll or enough work for their employees.
- Furloughs are typically temporary restructuring, whereas layoffs involve permanent termination.
- Furloughed employees often still receive health insurance and other employee benefits; laid-off employees do not.
- This article is for small business owners who need to reduce their staff size in response to a lack of payroll funds or work.
Downsizing your company is never easy, especially in times of financial hardship. Employee salaries are one of the highest overhead costs for businesses, though, so furloughing or laying off employees may be your best (or only) option in a financial crisis. Before going down this path, you should understand the… read the whole article, originally published on businessnewsdaily.com