Emory Healthcare just fired around 540 full-time finance workers without proper notice in violation of federal law, one of those employees alleges in a proposed class action lawsuit against the company.
The complaint, filed Friday in the U.S. District Court for the Northern District of Georgia, seeks to obtain damages, including 60 days’ worth of back pay and benefits, for each of the affected employees.
Paulette Simmons, the plaintiff, claims she is one of 543 full-time finance department workers let go by Emory Healthcare last week. She said she and the other workers were offered severance packages that fell short of what they were entitled to and unlawfully sought to quash their legal rights.
“Emory’s conduct demonstrates a willful attempt to circumvent (federal law) requirements and deprive employees of their statutory protections,” the complaint says.
A spokesperson for Emory Healthcare said its “difficult” decision to cut finance staff to streamline operations affects less than 1% of its workforce of about 27,000 employees based in metro Atlanta. The spokesperson said some additional finance staff are being shifted to other roles within the department “to better fit their skills and experience.”
“We are committed to supporting the individuals who are leaving us with needed resources throughout this career transition,” the spokesperson said Tuesday. “We express our sincere gratitude for the hard work and contributions these employees have brought to our team.”
The Atlanta-based company is part of Emory University and says it is the most comprehensive academic health system in Georgia, with 11 hospitals and more than 500 other locations.
Simmons said she received a severance letter on Aug. 12 announcing her immediate termination. The letter, attached to her complaint, offered her a lump-sum payment based on her wages if she agreed not to sue, among other things.
“The severance payment constitutes value to which you are not already entitled,” the letter says.
Simmons alleges Emory Healthcare violated the federal Worker Adjustment and Retraining Notification Act, known as the WARN Act, which requires employers of 100 or more full-time workers to provide 60 days’ notice of plant closures or mass layoffs.
She said the severance deal offered by Emory Healthcare was inadequate and did not comply with the law as it failed to provide employees with the equivalent of 60 days’ wages and benefits.
“WARN Act rights cannot be waived through severance agreements that fail to meet statutory requirements,” her complaint says.
But Emory Healthcare’s spokesperson said the WARN Act was not a factor in the layoffs, due to the number of affected employees.
Simmons wants the court to declare that Emory Healthcare violated the WARN Act and its severance agreements cannot be enforced. She also wants the affected workers to be certified as a class so they can receive equal compensation.
About the Author
Keep Reading
The Latest
Featured