According to the Maryland Department of Labor (MDOL), employers must now comply with the Maryland Economic Stabilization Act, which requires employers to provide notice of mass layoffs or reductions in force (RIFs) in certain circumstances. Although the MDOL had previously taken the position that it would not enforce the mandatory notice requirements of this law (commonly referred to as “the Maryland Mini-WARN Act”) until it had issued final regulations, apparently this is no longer the case.
Quick Hits
- Maryland’s Mini-WARN Act requires employers with fifty or more employees to provide sixty days’ notice of mass layoffs or reductions in force impacting the greater of at least 25 percent or fifteen employees.
- The notice provisions of Maryland’s Mini-WARN Act were made mandatory in 2020, but the MDOL previously announced it would not enforce the law until it had issued final regulations.
- Although only proposed regulations have been issued, the MDOL is now taking the position that employers must comply with the act.
Background
Maryland’s Mini-WARN Act, much like the federal Worker Adjustment and Retraining Notification (WARN) Act, requires employers to provide sixty days’ written notice to employees in the event of a mass layoff or significant reduction in operations. While adherence to this law and its accompanying regulations was previously voluntary, it became mandatory in 2020. Paul D. Burgin, coauthor of this article, played a key role in advocating for the Maryland...
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