The Worker Adjustment and Retraining Notification (WARN) Act is a federal law that requires covered employers to provide at least 60 days advance written notice of plant closings or mass layoffs. Enacted in 1988, the law is designed to give workers time to seek new employment or retraining before a job loss.
Who the WARN Act covers
The federal WARN Act applies to employers with 100 or more full-time employees (working 20+ hours/week for 6+ months). These employers must give 60 days notice before: a plant closing affecting 50+ workers at a single site; a mass layoff affecting 500+ workers at a single site; or a mass layoff of 50-499 workers if they represent 33%+ of the workforce at that site.
What the 60-day notice must include
Written notice must be delivered to: each affected worker (or their union representative), the state's dislocated worker unit, and the chief elected official of the local government. The notice must specify the expected date of separation, whether the layoff is temporary or permanent, bumping rights information, and contact information for the company official handling the layoff.
Exceptions to the 60-day requirement
Three narrow exceptions exist: the faltering company exception (seeking financing that would have been jeopardized by notice), unforeseeable business circumstances (sudden dramatic market change the employer could not have predicted), and natural disaster. These exceptions require the employer to give as much notice as practicable under the circumstances.
Remedies for WARN Act violations
Employers who violate WARN are liable for up to 60 days of back pay, up to 60 days of the value of benefits, and civil penalties up to $500/day for failure to notify local government. Voluntary severance offsets the liability. Claims are filed in federal district court and can proceed as class actions.
State mini-WARN laws
Many states have their own WARN equivalents with lower coverage thresholds or longer notice periods. California (75+ employees, 60 days), New York (50+ employees, 90 days), New Jersey (100+ employees, 60 days), Illinois, and others. If the federal WARN Act does not cover your employer, check your state's version.