As we've discussed before, the WARN Act generally requires large-scale employers to notify workers of any mass layoffs or plant closures 60 days before the event occurs. We've also discussed some circumstances, such as unforeseeable business events, or dire financial hardship, in which the Act's requirements are diminished. When a large-scale business is sold, however, when and to whom the Act applies can be tricky to determine.
Recently, we've highlighted the WARN Act and its notice requirements and exceptions for employers. Today we'll continue that coverage by discussing the Faltering Company Exception to the WARN Act's notice requirements. Remember, if your business is facing a closure or mass layoff situation, you should contact a local attorney to determine whether your actions will be WARN Act compliant, or may fall within one of its exceptions.
We've previously discussed the WARN Act and the notice requirements it places on employers facing closures or layoffs. In certain circumstances, regardless of the size or type of business, liability for noncompliance with the WARN Act may be avoided. You should consult an employment law attorney if you anticipate any drastic changes to your business's employment structure