Warn Notice California List

Understanding California’s Warn Notice Requirements

California has strict laws regarding layoffs and plant closures – employers with 75 or more full-time or part-time employees must provide written notice at least 60 days before a mass layoff, a plant closure, or a relocation that will result in a mass layoff. This is known as the California WARN Act.
The goal is to give workers and their families adequate time to transition, seek training, find new employment, or make other plans. There are serious penalties for violating the WARN Act, so employers need to understand the law.

What Triggers California’s WARN Notice Requirements

The WARN Act is triggered if an employer with 75+ employees lays off 50+ employees in a 30-day period, regardless of % of workforce. Or if an employer lays off 500+ employees, regardless of timeline. A few other scenarios:

• Closing a plant/facility/operating unit within the state
• A mass layoff exceeding the above thresholds
• A 25% reduction of employees at a covered establishment

So if you have a staff of 100, and need to cut 26+ jobs, the WARN Act applies.

Exceptions to Providing Notice

There are some scenarios where no WARN notice is required:

• The closing/layoff is due to a physical calamity
• A strike or lockout causes a shutdown
• An employee is fired for cause
• A short-term layoff (under 6 months)

But otherwise, 60-days notice is legally required.

What Must the WARN Notice Include?

The notice must be in writing and contain:

• A statement that the notice is being given under the WARN Act
• The name/address of the employment site affected
• The name/phone of company official to contact
• A statement regarding whether it’s a permanent or temp cutback
• The total number of affected employees and job titles
• The effective date of the layoff/closure

It Must Also Include:

• The name of each union representing affected employees
• The name/address of chief elected union officer for each union

So the notice should be detailed, listing the specific departments and positions impacted.

When to Serve Notice

The notice must be given at least 60 days prior to any shutdown or first layoff date. Though there are exceptions if the employer tries to avoid shutting down and then can’t prevent it.

Notice must also be served to:

• The State: California Employment Development Dept
• The Local Government: city mayor/county administrator
• Unions: if site is unionized

So proper notice takes coordination and paperwork – employers can’t just drop a closure/layoff on employees.

Penalties for Violating the WARN Act

If an employer fails to provide adequate, timely notice under California’s WARN Act, significant penalties can apply:

• Back pay + benefits for each day of notice violation, up to 60 days
• Example: 50 employees owed 3 weeks pay = significant liability
• Attorney fees/litigation costs if employees sue
• Fines up to $500 per violation per day
• Lawsuits from employees, unions, local government

So violating the WARN Act can get very expensive. Employers should consult employment attorneys to ensure full compliance.

Defenses Against WARN Act Liability

There are some defenses available if an employer faces lawsuits for lack of notice:

• “Good faith” effort to comply/unforeseeable circumstances
• Giving as much notice as possible
• The layoffs didn’t quite reach WARN Act thresholds
• Claiming one of the exceptions (physical calamity, short term, etc)

But the bar is high to prove these defenses. Employers face the burden of proof if sued.

Takeaways

California employers should be familiar with the WARN Act’s requirements for mass layoffs and facility closures. Providing 60-days written, detailed notice to employees, government, and unions is mandatory in most cases.
Failing to comply can be very costly in litigation and damages. But being familiar with the law’s provisions for exceptions, thresholds, and defenses can help employers avoid liability if legitimate reasons exist why full notice wasn’t possible.
The smart approach is being aware of – and complying with – the Act’s notice rules whenever large-scale terminations or shutdowns occur. This shows good faith and prevents costly lawsuits.
Consulting employment attorneys is also wise to ensure protocols are met. The WARN Act is complex, but compliance protects both employees and employers.