What is the WARN Act?

The WARN Act, or Worker Adjustment and Retraining Notification Act, is a federal labor law that requires employers in California with 75 or more full-time employees to provide notice of certain employment actions. This includes plant closings and mass layoffs, as well as any plans to reduce hours for 50 or more full-time employees. The reason for the WARN Act is to give employees, their families, and communities at least 60 days to adjust to changes before they occur. For instance, employers must provide written notice at least 60 days in advance of any plant closing or mass layoffs. WARN acts to provide employees with sufficient time to look for other employment and/or arrange for training opportunities. The WARN Act applies to private, as well as public and local government employers. Employers must provide a written notice to the affected employees, as well as their representatives, state agencies responsible for workforce preparation and development, and local government entities. In the notice, employers must specify the expected date of the plant closing or layoff, any bumping rights that may exist, and the name and address of the plant or worksite. The WARN Act also has provisions related to employee benefits. If an employer fails to comply, affected employees may be entitled to up to 60 days of back pay and benefits. Employers who are found to have willfully violated the WARN Act can be fined up to $500 a day, per employee.

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What is the WARN Act?

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