Defense and Aerospace Layoffs in LA: Severance at HRL Laboratories and Raytheon

Defense and aerospace workers in Los Angeles took major hits in 2026. HRL Laboratories (formerly Hughes Research Laboratories) cut 329 employees across multiple rounds. Raytheon cut 55. If you're an engineer, scientist, or technician who worked on classified or proprietary defense technology, your severance agreement has issues that most employment attorneys never see.

Here's something most people don't realize: severance agreements are negotiable. The offer you received is a starting point, not a final number. Employees negotiate better severance packages with the help of an attorney every day, and the results are often meaningfully better than the initial offer.

We review and negotiate severance agreements on contingency. That means no upfront cost to you. Our fee comes only from the additional amount we negotiate above what you were already offered. If we don't improve your package, you don't pay. There's no downside to having an attorney look at what you've been given.

WARN Act

HRL's 329 combined layoffs clearly trigger both federal and Cal-WARN. Raytheon's 55 exceeds the Cal-WARN threshold. If 60 days' notice wasn't provided, you're owed up to 60 days of pay and benefits on top of severance.

Security Clearances: The Hidden Issue

If you hold a security clearance, here's what matters most: your clearance status after separation. A clearance in good standing is enormously valuable for your next defense industry job. Make sure the severance agreement doesn't include language that could affect your clearance status. No adverse action reports. No characterizations that could flag a future clearance review.

When you leave a cleared position, your clearance goes inactive but can be reactivated by a new employer within a certain window. The terms of your departure matter for that reactivation. Get this right.

NDAs and Classified Information

You already have NDA obligations related to classified work. Those exist independently of the severance agreement. But the severance may try to expand confidentiality provisions beyond what's required for classified material. Make sure the confidentiality clause is appropriately scoped. You should be able to discuss your unclassified work experience, your skills, and the general nature of your role when applying for your next job.

IP in Defense

Defense research generates significant intellectual property. HRL is jointly owned by Boeing and General Motors. Raytheon (now RTX) is one of the world's largest defense contractors. The IP provisions in your severance may be complex because of government contract requirements. Some IP belongs to the government, some to the contractor, and the boundaries aren't always clear. California Labor Code Section 2870 still protects your personal inventions.

The LA Defense Corridor

Los Angeles has a deep defense and aerospace industry. HRL is in Malibu. Raytheon has operations across the region. El Segundo, Palmdale, and the broader South Bay are home to Northrop Grumman, Boeing, L3Harris, and dozens of defense contractors. Your skills are in demand, and your next opportunity is likely within driving distance.

Standard Protections

Non-competes void under Section 16600. OWBPA: 45 days for over-40 employees in group layoffs (defense/aerospace has many experienced, long-tenured workers). Final pay including PTO on your last day per Labor Code 201-203. Release waives all claims.

If you were laid off from a defense or aerospace company in LA, our employment attorneys can review your severance. LA County Superior Court. Free consultation.