Has anyone heard of another round of upcoming layoffs and this time without severance? Someone was telling me that certain financial changes need to be met prior to the sale so the new company does not have to assume liabilities, severances, unemployment etc... Most will be in corporate functions and others will be at campus. Each department in support services will lose 1 employee.
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Ummmm there is no buyer - yet. So none of this matters. If there is no buyer, then we get taught out.
958 - Pay closer attention, please: Neither CCI or any buyer is under any obligation to pay severance. We are not a union shop. Unemployment is a diferent scenario, and ypu might have a point there.
But the buyers would not want to deal with unemployment or severances which us why they would want CCI to get rid of the positions before signing
The buyer is under no obligation to retain any employees. The employees are the new company's to do as they wish. The employees' current contracts are with Corinthian.
Although every scenario is a bit diferent, it would be unusual for layoffs to occur to meet the wishes of the buyer. Even in cases where the buyer knows there is dulication, the layoffs usually occur after the purchase. The buyer is under no obligation to provide severance. There is no benefit to the seller to do a layoff prior to the sale - unless it is needed to keep the doors open until the sale is completed.
They haven't paid severance since June. It's one of the things disallowed by the federal monitor. As for for Corporate functions....what corporate staff? They gutted CAO in March of 13, as Santa Ana was duplicating most of their activities. If there's more layoffs, they'll be tied to enrollment numbers. The number of faculty and support staff are based on the current student body...and since October was one of the worst starts in years, cuts are a distinct possibility.