When Does the Federal WARN Statute Apply?
Each time a transaction that could displace employees is contemplated, the employer must answer three threshold questions to determine whether WARN requires 60-day advance notice: 1. Does the employer qualify by having at least 100 employees? An employer is covered by WARN if it has 100 or more full-time employees at the time notice is required to be given (not at the time of the layoff or closing). Since even temporary employees count toward this threshold, employers operating close to the 100 mark should begin to think 60 days ahead and give notice of qualified events to employees who are likely to be terminated or laid off. 2. Does the event qualify as a mass layoff or plant closing by affecting at least 50 employees? WARN defines a mass layoff as one that results in employment loss over any 30 day period for 50 to 499 full-time employees, if those employees amount to at least 33% of the employers total full-time work force, or 500 or more full-time employees without regard to the p
