With the downturn in the economy, more and more employers are resorting to layoffs and reductions in force.  Employees are contacting our law firm with questions about severance agreements and releases.  It has become the norm for employers to condition severance benefits on the execution of a release of all potential claims against the employer, including wage and hour claims.  Many employers (and their legal counsel) unwittingly put themselves in a dilemma when they seek this type of waiver because the waiver of FLSA claims must be approved by a court or the Department of Labor to be effective. In other words, even if you have signed a release, courts may find that you have not waived your right to seek damages for unlawful FLSA payment practices by your former employer.

If you find yourself the victim of a reduction in force or a layoff, contact an employment attorney to learn more about your legal rights.

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