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Some Employers Saying Stay Home With No Pay

Employers are starting to resort to measures other than layoffs to make it through these trying economic times. They can't get rid of all staff if they want to stay in business, but they also can't afford to fulfill their payroll obligations. Working without pay isn't an option so some companies are asking employees to stay home without pay as a cost-saving measure.

The Seattle Times is one of many newspapers struggling to stay afloat, and on Friday it asked 500 managers and nonunion workers to take a week off without pay before the end of February. The news comes after the paper already laid of 500 workers in 2008, and precedes more layoffs to come in 2009.

The very same day, Gov. Arnold Schwarzenegger called for new payroll policies in the face of increasingly unmanageable budget problems in the state of California. He announced a hiring freeze, payroll cuts, and ordered the 235,000 state employees to take two days off every month without pay as of Feb. 1.

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impradayou impradayou 7 years
How sad. And with all this, the rate for employees filing workers' compensation 'claims' surges. If anything, it keeps me in a regular job.
lovekailua lovekailua 7 years
yep, many people at my work taking these last two weeks off w/o pay.
shiningeyes shiningeyes 7 years
I'm an hourly worker and my hours were cut 5 hours per week. But the salaried workers at my company have to take a week off without pay. It's going to be tough, but far better than completely losing my job.
hippiecowgirl hippiecowgirl 7 years
That's really sad. I guess it's just a sign of the times.
bellaressa bellaressa 7 years
If most Americans are really one pay check away from homelessness, can you imagine the impact this would be on the US. This is huge but I especially like with Melo D said which is mostly education that spreads your checks evenly through each pay period. You may get less in the long run but your not high and dry some weeks during the year.
ilanac13 ilanac13 7 years
i think that this is still something that's hard to do. i for one don't know if i would be able to take a full week w/o pay since i rely on my paychecks to pay my rent/mortgage and all that. if i miss a full week, then that's half a paycheck and i'd be screwed. i can understand that they are trying everything they can to keep the staff intact but it's still hard. i know that this time of year has major hiring freezes, and that's kind of hard since my fiance is a recruiter and the only way that he makes money is to place people in jobs...ugh! it's just bad all around. my agnecy took away some of our optional holidays for 2009 and they are reducing the number of paid holidays that we get. it's just an all encompassing sign of the times i think.
Melo-D Melo-D 7 years
okay something happened in the comment. It should have said 2 days no pay next year for those making less than 40,000 and 5 days for those making greater than 40,000. The less/greater than signs definitely deleted everything in between.
Melo-D Melo-D 7 years
Yeah my girl got an email like this about a month ago for the state of Maryland. They have it "tiered" in a way. It was something like two days no pay next year for those making <40,000 and 5 days for those making >40,000. Don't quote me on that though. I just know she's not happy b/c the funny thing is she never uses all of her personal/sick/vacation days b/c it's virtually impossible b/c she doesn't make enough to really take a vacation and then they have vacation freeze times (she's an academic advisor). But at least they'll spread out the money that you lose so you don't feel it all at once.
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