Furlough

A “furlough” is an involuntary and unpaid leave of absence. It can be seen as a temporary layoff where employees cease working and receiving a salary. However, unlike a layoff where employees are permanently terminated, furloughed employees can return to work when the employer is ready to bring them back.

In response to the economic pressures caused by the COVID-19 pandemic in sectors such as leisure, travel, and hospitality, some organizations furloughed their employees in the hope to bring them back when the pandemic ebbed.