Company policy change, right or wrong

[stardaisy]

What is the name of your state?Indiana
New company policy states that if an employee is layed off even for one day, when they come back they have to start all over on seniority, wages just as if we were new employees. We are a seasonal plant. Every year in the winter months some get layed off and they call almost everyone back. Can they do this? Thank you

 

[CheeseBlotto]

Perfectly OK.

 

[justalayman]

What is the name of your state?Indiana
New company policy states that if an employee is layed off even for one day, when they come back they have to start all over on seniority, wages just as if we were new employees. We are a seasonal plant. Every year in the winter months some get layed off and they call almost everyone back. Can they do this? Thank you

Yes they can because "layoff" is a nice word for "fired" in your situation.

If you want it to be different, vote in a union.

 

[pattytx]

The only thing I can thing of where that MIGHT not be legal is in some ERISA-regulated benefit plans, where breaks-in-service rules are more strictly mandated.