For the first time since the early days of the COVID-19 pandemic, employers are implementing a new wave of layoffs, particularly in the tech world, and it is anticipated that there are more to come as recession worries loom. Employers have pointed to over-hiring during the past two years as one reason for the current correction, and are now reducing headcounts to reflect market cooling. The layoffs and job cuts across the board resurface important employment law considerations that may have laid dormant since the early days of 2020, including the WARN Act and state mini-WARN acts. This blog provides a brief refresher on how the WARN Act applies to plant closings and mass layoffs, and what, if anything has changed since 2020.
The Worker Adjustment and Retraining Notification Act (“WARN”) is a federal law that requires employers to provide advance notice and planning mechanisms to their workforce and communities in the event of a qualified “plant closing” or “mass layoff.” The United States Department of Labor issued guidelines for employers to navigate WARN requirements. Under the WARN Act, employers with 100 or more full time workers (total) must provide written notice at least sixty (60) calendar days in advance of covered plant closings and mass layoffs. Certain states have analogous state laws, referred to as mini-WARN acts. We blogged about the WARN Act, other WARN-triggering events, and state...
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