LEGAL PITFALLS OF DOWNSIZING

This article analyzes 120 federal appellate court opinions fried between 1990 and June 30, 1994 in which a plaintiff alleged that age discrimination motivated his or her termination during a reduction in force. Employers prevailed in 63 percent of these cases, either through a pretrial summary judgment award or on the merits. The impact of two recent U.S. Supreme Court opinions on the outcomes of these cases, the plaintiff's limited right to a jury, and the courts' analysis of employers' justifications for terminating plaintiffs are discussed. The article also reviews judicial response to the use of arbitration clauses in employment contracts that preclude litigation of discrimination claims.