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With the down turn in the economy many companies are cutting cost in the biggest expense on their books, labor. So it’s not surprising that the question of FMLA and lay-offs would come up.
So can FMLA save me from being laid off?

The answer isn’t plain and simple.
If you are out on FMLA and your employer decided to lay off individuals you could be selected if you would have been selected if you had been working.
BUT if you employer decides to select you solely because you are on FMLA or have requested FMLA then you should consult an attorney, because your employer may have retaliated against you.
If you are on FMLA or have requested FMLA the thing you need to ask your employer is “Why was I selected?” If their response is that you are taking FMLA, you should contact an attorney.