What is the Worker Adjustment and Retraining Notification Act (WARN)?
The Worker Adjustment and Retraining Notification Act (WARN) is a federal law that requires employers in Texas with 100 or more employees to provide at least 60 days advance notice of a mass layoff or plant closing. The WARN Act was created in 1988 to protect workers and communities from the abrupt closure of their employment. The idea behind the act is to allow individuals and communities time to prepare for economic changes. WARN requires employers to provide 60 days written notice to affected workers and their unions, as well as to state and local governments. WARN also requires employers to provide information about the closing and any assistance that is available. This includes career counseling and job-search assistance. Under WARN, employers must provide severance pay and other benefits to affected workers. Affected employees may also be entitled to continued health benefits and out-placement services. In certain circumstances, employers may be required to provide re-employment services to affected workers. The WARN Act applies to most private employers in Texas that have 100 or more employees. It does not apply to public employers or to employers of fewer than 100 employees. Additionally, the WARN Act does not apply to a plant closing or mass layoff caused by natural disasters or government-mandated shutdowns.
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