Displaced Worker Law and Legal Definition

A displaced worker generally refers to something more than a worker who has permanently lost his or her job. Typically, a displaced worker is viewed as someone who loses a job that has been important to his or her livelihood for some time. For example, it may arise in the context of a job that has become irrelevant by advances in technology, or a job that no longer exists due to plant closings.

State programs that offer aid to displaced workers have varying definitions of those who are qualified for assistance. The Bureau of Labor Statistics defines a displaced worker as "persons 20 years of age and older who lost or left jobs because their plant or company closed or moved, there was insufficient work for them to do, or their position or shift was abolished."