What does furloughing mean?
Furloughing refers to the practice of temporarily sending employees home without pay while keeping them formally attached to their employer, usually with the clear expectation that they will be recalled when conditions improve. Unlike a layoff, which permanently severs the employment relationship, a furlough is intended as a pause rather than an ending: workers often retain benefits and seniority and may later claim unemployment support for lost wages. The word appears most often in business journalism, corporate announcements, and public-policy debate, particularly during recessions and crises; it became a household term during the COVID-19 pandemic, when governments in the UK and elsewhere subsidised companies that were furloughing staff rather than dismissing them. The word also has an older military meaning, describing an authorised leave of absence granted to a soldier. Because it implies both hardship and hope, furloughing occupies a distinctive middle ground in employment vocabulary between ordinary leave and outright job loss.
verb (present participle/gerund)Furloughing is the act of temporarily suspending employees from work without pay, typically during economic downturns or crises, while keeping them formally employed.
- Temporarily suspending employees without pay while retaining them as employees, usually with the expectation of return.
- (Military context) granting a soldier or worker an approved leave of absence.
"The airline began furloughing thousands of cabin crew as international travel collapsed."
"The automaker announced it was furloughing 15,000 factory workers until supply chains recovered."
"During the pandemic, the government subsidised employers who were furloughing rather than dismissing their staff."
Once a term known mostly to soldiers and HR departments, furloughing became front-page news worldwide when pandemic lockdowns put millions of workers on temporary unpaid leave.
Reviewed by Deb Chak, Editor. AI-assisted content curated by RJS Tech Solutions LLP.
Etymology of furloughing
The word furlough originates from the Dutch 'verlof', meaning leave or permission, which entered English via Dutch-speaking settlers in colonial America in the seventeenth century. It was first used in military contexts to describe a soldier's authorised absence from duty. The verb form 'to furlough' and the gerund 'furloughing' developed as the term spread into civilian employment practice, especially in American industry during periods of seasonal or economic downtime.
Related word forms
How furloughing is actually used
Furloughing is primarily a workplace and business term, used in formal and news contexts. It carries a somewhat less severe connotation than dismissal, implying a temporary measure and a mutual expectation of recall. The term gained particular prominence in the UK during the 2020 coronavirus job retention scheme, where 'being on furlough' entered everyday conversation.
Easily confused with furloughing
A layoff permanently ends the employment relationship, whereas furloughing keeps employees on the payroll with the expectation they will return to work.