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The Worker Adjustment and Retraining Notification Act of 1988 (the "WARN Act") is a U.S. labor law that protects employees, their families, and communities by requiring most employers with 100 or more employees to provide notification 60 calendar days in advance of planned closings and mass layoffs of employees. [1]
Don’t underestimate the value of reviewing your state’s unemployment laws and federal notification mandates. Also, ask how your company will communicate your layoff terms to future employers.
Unemployment insurance is funded by both federal and state payroll taxes. In most states, employers pay state and federal unemployment taxes if: (1) they paid wages to employees totaling $1,500 or more in any quarter of a calendar year, or (2) they had at least one employee during any day of a week for 20 or more weeks in a calendar year, regardless of whether those weeks were consecutive.
Under §2612(2)(A) an employer can make an employee substitute the right to 12 unpaid weeks of leave for "accrued paid vacation leave, personal leave or family leave" in an employer's personnel policy. Originally the Department of Labor had a penalty to make employers notify employees that this might happen.
Concerns Surrounding Unemployment Insurance. According to Indeed, unemployment insurance is a temporary financial respite to an unexpected loss of employment due to a company layoff or a ...
Mass layoffs have been making headlines recently -- notably those in the tech industry -- but other sectors such as financial and media are also being hit. Next: Suze Orman's Top 26 Tips That Will...
Just cause usually refers to a violation of a company policy or rule. In some cases, an employee may commit an act that is not specifically addressed within the employers' policies but one of which the employer believes warrants discipline or discharge. In such instances, the employer must be confident that they can defend their decision.
Companies, he said, should be mindful of how they handle layoffs, including trying to put themselves in the employee's shoes. He doesn't recommend laying people off via a mass email or big Zoom call.