Executive Order to Suspend and Modify CAL Warn Act for COVID-19

 

What is WARN?

The federal Worker Adjustment and Retraining Notification Act applies to employers of 100 or more full-time employees (or 100 full-time and part-time employees who work a total of 4,000 non-overtime hours per week). A covered employer must give 60-days notice to affected employees and specified government officials before it: (i) shuts down an employment site that causes employment loss for 50 or more full-time employees; (ii) conducts a layoff that effects 50 or more employees and 33% or more of the total workforce at a single...

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Employee Lay-offs: What Employers Should Know during COVID-19

COVID-19 may obliterate a lot of businesses from the face of the earth over the next few months, or it may not. Nearly every business in the United States has been affected by this pandemic and there are going to be tough decisions made over the next few weeks as government entities are forcing non-essential businesses across America to temporarily close down.

WHAT YOU NEED TO KNOW ABOUT LAYING OFF EMPLOYEES

  • You have to have a systemic strategy of who is getting laid off and ensure it is non-discriminatory. The easiest system to implement is last in, first out (by tenure). The more difficult strategy is to decide based off of performance because this would require the company to have to prove that one employee outperforms the other and would need documentation to support it. Businesses can also choose to let go certain departments if those departments would no longer be essential to the business in current circumstances. This is also known as eliminating positions.
  • You have to...
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