CALIFORNIA - I work for a publicly traded company which is going through layoffs. We had been made aware of the upcoming layoffs but no individual knew who was being let go yet. The night before the announcements about layoffs, the company threw a party. The next day, the president of the company held a meeting with executive level empoyees to communicate the message they would pass on to all empolyees throughout the day of layoffs. At this meeting, he publicly announced that I was making out with someone at our office slammed up against a wall. This was not me. It was another woman who has my hair color but otherwise looks nothing like me. This information was spread throughout the day by executives as a rumor to individuals through the layoff meetings. I found out about it when the director of my division made a comment and a face at me and my co-workers informed me of the rumor. When I had my layoff meeting, I was asked to stay for 9 more months or receive no severance. The rumor is spread throughout our entire office now and one week later is still coming up. Do I have a case? What I would like is to just request the package I was offered to leave in 9 months to leave now as I feel my reputation has been ruined.