Q & A – May 17, 2016

Q. What is the WARN ACT?

A, The Worker Adjustment and Retraining Notification Act (WARN) applies to private businesses, non-profit organizations and public or quasi-public entities separately organized from the regular government with their own governing bodies and independent authority. WARN applies to employers with at least 100 full-time employee or 100 or more employees, including part-time employees, who work at least 4,000 hours per week, exclusive of overtime.

The purpose of WARN is to provide workers and their communities with advance notice of their loss of employment so that they may begin to search for employment or obtain training for another occupation. The act generally requires employers to give 60 days-notice prior to a “plant closing” or “mass lay off.” The regulations under WARN are complex and fact intensive; for further information, refer to our FYI on The WARN Act.