WorkLayoff rights
Your rights in a layoff in Arizona
A layoff in Arizona ends the job, but it does not end what you are owed. Your final wages are due within seven working days or by the next regular payday, whichever is sooner. If the employer has 100 or more employees and the layoff is large enough, the federal WARN Act generally requires 60 days' written notice or pay in lieu of it; Arizona has no state WARN law of its own. Severance is not required but is commonly offered in exchange for a release, which is the document worth reviewing before you sign. If notice, pay, or benefits came up short, you may have a claim.
What Blueshoe does
The groundwork, in order, before you decide anything.
- 01
Check the notice and the pay
Whether WARN applied, whether 60 days' notice or pay was given, and whether final wages, commissions, and PTO were paid on time and in full.
- 02
Review the package
The severance agreement is mapped clause by clause: the release, the amount, the non-compete, the reference, the OWBPA windows if you are over 40.
- 03
Line up the next steps
Unemployment, COBRA, equity vesting dates, and the deadlines in the agreement, calendared so nothing lapses while you look for work.
- 04
An attorney can respond
If the package falls short or the firing looks selective, a licensed Arizona attorney can review the file and negotiate or file, on terms stated in writing first.
What the law says
What the law says about layoffs in Arizona
Does my employer have to give notice before a layoff?
Sometimes. The federal WARN Act requires employers with 100 or more employees to give 60 days' written notice of a plant closing or mass layoff as the statute defines them, or pay for the days of notice not given. Arizona has no state WARN law, so smaller layoffs and smaller employers are generally not covered.
When do I get my last paycheck?
After an involuntary separation, A.R.S. § 23-353 generally requires final wages within seven working days or by the next regular payday, whichever is sooner. Earned commissions and bonuses under a plan, and PTO where the policy promises payout, are wages for this purpose. Wrongful withholding can expose the employer to treble damages under A.R.S. § 23-355.
Am I entitled to severance?
Not by statute. Severance is offered in exchange for a release of claims, and that trade is negotiable: the amount, the timing, health coverage, the reference, and any restrictive covenant. If you are 40 or older, federal law gives you at least 45 days to consider a release in a group layoff and 7 days to revoke after signing.
Was the layoff really a layoff?
A reduction in force that happens to remove the employee who complained, the older workers, or the person on leave is examined under the discrimination and retaliation statutes like any other termination. Selection criteria are discoverable. If the pattern looks selective, the deadlines are the discrimination deadlines: 180 days with the ACRD, 300 with the EEOC.
What about health insurance and unemployment?
COBRA lets you continue group health coverage at your own cost for a period after separation; a severance offer sometimes includes the employer paying it. Unemployment insurance through Arizona DES is generally available after a layoff, and signing a severance agreement does not usually disqualify you, though the agreement should be read for anything that affects the claim.
What it costs
Free to ask. A flat fee, quoted before any work.
Asking costs nothing, and a licensed Arizona attorney can review your situation before you decide anything. If you engage Blueshoe, the fee is a flat amount set out in a written engagement agreement before any work is billed. Some matters resolve with one letter; others need a filed claim; you know the price for each before you commit.
- Free to ask
- Written assessment before any fee
- Engagement terms in writing
- No billable hours
Questions people ask
If WARN applies, no: it requires 60 days' notice or pay in lieu. If it does not, Arizona requires no notice at all. The assessment checks the employer's size and the layoff's size against the statute.
More under Employment
- Severance agreementsHanded a severance agreement with a deadline? What you are releasing, whether the number is negotiable, the 21 and 45 day windows for workers over 40, and how Blueshoe reviews it before you sign..Read more
- Unpaid wagesA withheld final paycheck, unpaid commissions, overtime your employer calls exempt.Read more
- DiscriminationRace, sex, pregnancy, age, disability, religion, national origin, and the retaliation that follows a complaint.Read more
Legally reviewed by Catherine O’Grady, State Bar of Arizona No. 011647
Managing partner & chief compliance officer · 30+ years in practice · Reviewed 2026-10-08 · Full bio →