Employer in trouble

[someguyoutthere]

This situation is happening in Michigan.

Since September my wife has worked for a company that's in serious financial trouble. When she interviewed they never let on how bad the situation is, apart from vague comments about Michigan's economy in general. But their situation is bad. She's been consistently paid (because she demands that) but that hasn't been the case for everyone.

The latest whispered news is that they won't make payroll tomorrow for any staff, and that the interim CEO is resigning tomorrow.

* If they don't fire or lay her off, but she doesn't get paid, can she file for unemployment? Is there a time period that must elapse before they're considered to be delinquent in paying her?

* She considers the possibly outgoing interim CEO to be one of her stronger allies--not sure about whoever might be taking the CEO's place. Should she ask the CEO to lay her off unless/until she can be paid? Is that even the right term? Or furloughed? Would she then be able to get unemployment? Should she discuss this with an attorney?

* Can she sue the company for misrepresentation, given that they hired her knowing what dire circumstances they were in?

 

[calalily]

Can't sue company, but if she is officially laid off, she should be able to file unemployment. Check you state laws. If they don't pay her she has to file a grievence with DOL, but can't file unemployment until she is laid off or let go.