WARN Act Compliance: Recent Federal Cases, Remote Work, State Law Requirements, Notice Exceptions, Defenses
Special Considerations for Small Employers

Course Details
- smart_display Format
On-Demand
- signal_cellular_alt Difficulty Level
- work Practice Area
Employment and Workers Comp
- event Date
Wednesday, November 16, 2022
- schedule Time
1:00 p.m. ET./10:00 a.m. PT
- timer Program Length
90 minutes
-
This 90-minute webinar is eligible in most states for 1.5 CLE credits.
This CLE webinar will advise employment counsel navigating the Worker Adjustment and Retraining Notification Act (WARN Act), related state law analogs, and workforce reductions. The panel will discuss recent federal court cases and their impact on how remote employees are governed under the WARN Act. The panel will also address the legal issues for smaller employers considering layoffs.
Faculty

Mr. Prokott advises businesses regarding complex workplace matters. He represents employers of all sizes, including multinational public and private companies, established and emerging private businesses, and nonprofit organizations. Mr. Prokott advises employers on: hiring practices, including issues related to non-discrimination, non-competition, pre-employment testing, background checks and state law compliance; reviewing and drafting offer-of-employment letters and employee handbooks; preparing executive and sales compensation agreements; preparing non-competition, non-solicitation and confidentiality agreements, and advising on the enforceability of these types of agreements; and best practices for managing and implementing employee restructurings and voluntary and involuntary workforce reductions, including release requirements under the Age Discrimination in Employment Act and Older Workers Benefits Protection Act, and compliance with the Worker Adjustment and Retraining Notification Act, among other matters.

Practicing employment law since 1991, Prof. Raisner is the founding partner of Raisner Roupinian, LLP. He has litigated to victory in the U.S. Supreme Court the claims on behalf of a 2,000-member class of employees in Czyzewski v. Jevic Holding Corp. The Court’s decision stopped employers from using a practice in bankruptcy to avoid paying their employees’ earned wages and strengthened the rights of all priority creditors. He has litigated more than 100 WARN Act cases that have totaled over $100 million in settlements. Prof. Raisner has argued WARN Act appeals in the U.S. Court of Appeals in the Second, Third and Fifth Circuits, that have led to expanded employee protections for those laid off around the country. He helped craft New Jersey’s mandatory severance law, the nation’s first, and its WARN law – the most expansive in the country. He has worked on similar legislation introduced in the U.S. Senate and House of Representatives.

Ms. Follansbee counsels clients on a wide variety of employment issues and litigates employment disputes before state and federal courts and administrative agencies. Her litigation practice includes restrictive covenant agreements; discrimination, sexual harassment, and retaliation claims; and wage and hour compliance. Ms. Follansbee regularly advises clients on compliance with federal, state, and local laws, including changes in Massachusetts non-compete laws and leave entitlements. Her practice also encompasses assisting clients with terminations and reductions in force, WARN notifications, workplace investigations, employee classifications, and employee handbooks and policies.
Description
For the first time since the early days of the COVID-19 pandemic, employers are implementing a new wave of layoffs, particularly in the tech world, and it is anticipated that there are more to come as recession worries loom. Employers must consider the notice obligations under the WARN Act and related state laws due to changes in employment status.
Employment counsel should be aware of recent federal decisions related to the WARN Act. Concerning remote workers, while the law states it applies explicitly to mass layoffs of employees at "a single site of employment," a Virginia federal court found that the site of employment for remote workers was the location "to which they are assigned as their home base, from which their work is assigned, or to which they report."
There appears to be a split in federal court cases regarding whether the COVID-19 pandemic is the type of natural disaster that exempts an employer from the law's notification requirements. The WARN Act also provides several employer defenses, including exceptions for employers who were hit with unforeseen business circumstances, companies that sought financing shortly before shutting down a plant, and a good faith defense often used to reduce or eliminate damages when liability is found.
Though the WARN Act applies to employers of 100 people or more, smaller employers should review their state's applicable laws to determine if they must comply. A small employer considering major layoffs should complete a disparate impact analysis on the affected parties to determine if there is potential liability under anti-discrimination laws.
Listen as our panel discusses WARN Act compliance, recent decisions, and what best practices a smaller employer should consider when evaluating a reduction in force.
Outline
- Worker Adjustment and Retraining Notification Act
- Notice requirements
- Definitions
- Employer
- Exceptions
- Definitions
- Recent cases
- Remote workers
- COVID-19
- Other best practices
- Notice requirements
Benefits
The panel will address these and other relevant topics:
- What are the requirements under the WARN Act, and who is a qualifying employer?
- How are remote, temporarily laid off employees, and independent contractors treated under the WARN Act?
- What are defenses under the WARN Act available to employers?
- Besides disparate impact analysis, how should a small employer evaluate a major layoff?
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