The Worker Adjustment and Retraining Notification (WARN) Act

The Worker Adjustment and Retraining Notification (WARN) Act requires that covered employers generally must provide at least 60 days notice to affected employees or their representatives before ordering a “plant closing” or “mass layoff.”  See 29 U.S.C. § 2102(a).

What employers are subject to the WARN Act?  The WARN Act applies to any business enterprise that employs either:  (1) 100 or more employees, excluding part-time employees; or (2) 100 or more employees who in the aggregate work at least 4,000 hours per week (exclusive of overtime hours).  See 29 U.S.C. § 2101(a)(1).

What is a “plant closing”?  A “plant closing” is defined as “the permanent or temporary shutdown of a single site of employment, or one or more facilities or operating units within a single site of employment, if the shutdown results in an employment loss at the single site of employment during any 30-day period for 50 or more employees excluding any part-time employees.”  See 29 U.S.C. § 2101(a)(2).

What is a “mass layoff”?  A “mass layoff” is defined as a reduction in force that:  (1) is not the result of a plant closing; and (2) results in an employment loss at the single site of employment during any 30-day period for either:

  • At least 33% of the employees (excluding any part-time employees) and at least 50 employees (excluding any part-time employees); or
  • At least 500 employees (excluding any part-time employees).

See 29 U.S.C. § 2101(a)(3).

About Michael Miller

Michael is a Chambers-rated attorney in Briggs and Morgan's Employment, Benefits, and Labor group and is head of the firm’s Employment Law Counseling and Compliance practice group. He has 25 years experience counseling employers to prevent unwanted litigation and advises companies of ongoing changes in federal, state and local employment law. Michael advises employers in all areas of employment law including discipline and discharge, leaves of absence, wage and hour compliance, non-compete and confidentiality agreements, affirmative action plans, background checking, and drug/alcohol testing. For Michael's full bio, click here.

Posted on August 31, 2011, in Mass Layoffs and Plant Closings and tagged . Bookmark the permalink. Leave a comment.

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