August 22, 2025
Former Emory Healthcare Employees Sue Over Mass Layoffs
As part of Emory University, the company is known as one of the most comprehensive academic health systems in Georgia, hosting 11 hospitals and over 500 locations.
A former employee cited workers’ rights being violated in a class action lawsuit against Atlanta’s Emory Healthcare after laying off dozens of employees, Atlanta News First reports.
More than 500 full-time workers in the financial services and revenue cycle department received pink slips in early August 2025, and the suit claims the move violated the federal Worker Adjustment and Retraining Notification (WARN) Act, which provides protections for employees during mass layoffs.
The suit alleges that employees weren’t given the required 60 days’ advance notice in writing. Instead, employees were given severance agreements that offered payments but required them to sign away their back pay claims. Under the WARN Act, companies that fail to give employees 60 days’ notice during a mass layoff are ordered to provide back pay and other benefits. “Emory’s conduct demonstrates a willful attempt to circumvent WARN Act requirements and deprive employees of their statutory protections,” the lawsuit reads.
According to the Atlanta Journal-Constitution, the face behind the suit is Paulette Simmons. The former employee recalls receiving a severance letter dated Aug. 12 announcing her immediate termination. The letter offered her a lump-sum payment based on her wages, but she had to agree not to sue, in addition to other things. “The severance payment constitutes value to which you are not already entitled,” the letter says.
However, Emory argues no implications of the WARN Act due to the limited number of employees. The company said the “difficult” decision for layoffs only affected 232 out of its 29,5000 employees, which is 1% of the workforce. “A mass layoff occurs if the employment losses at a single site of employment represent at least 33% of the total active workforce, excluding any part-time employees. Neither of these options came into play at Emory Healthcare,” an Emory spokesperson said in a statement.
“We remain committed to supporting the individuals who are leaving us with needed resources throughout this career transition. We express our sincere gratitude for the hard work and contributions these employees brought to our team.”
As part of Emory University, the company is known as one of the most comprehensive academic health systems in Georgia, hosting 11 hospitals and over 500 locations. Simmons is calling on the court system to declare that Emory Healthcare violated the WARN Act and wants affected workers to be certified as a class in an effort to receive equal compensation.
Other states, such as Ohio, have made moves to ensure employees are protected during mass layoffs, which can come at any time. Gov. Mike DeWine added a new section to House Bill 96 that includes a “mini” state WARN Act, guaranteeing employers provide workers with 60 days’ notice whenever layoffs or plant closures occur.
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