Worker Adjustment And Retraining Notification Act – WARN

AAA

DEFINITION of 'Worker Adjustment And Retraining Notification Act – WARN'

A United States labor law that offers protection to workers, workers' families and communities by requiring certain employers to give a 60-day advance notice of any plant closings or mass layoffs. The Worker Adjustment and Retraining Notification Act covers private, for-profit employers, and private, nonprofit employers with 100 or more employees. Employees who have worked fewer than six months in the previous 12 months, and employees who work less than 20 hours per week on average are not included in the employee count.


INVESTOPEDIA EXPLAINS 'Worker Adjustment And Retraining Notification Act – WARN'

Managers, supervisors, salaried and hourly wage workers are entitled to receive a 60-day advance notice of plant closings or mass layoffs through the Worker Adjustment and Retraining Notification Act. The act is intended to provide workers and their families opportunity to adjust to the forthcoming loss of employment, to enter skill-training programs, or look for other employment. Workers who are participating in strikes or who have been locked out in labor disputes, and regular federal, state and local government employees are not protected by the act.


WARN is not activated if the plant closing or mass layoff affects fewer than 50 workers at a single employment site; if 50-499 workers lose jobs but that number is less than one third of the total workforce at a single location; or if the layoff is for six months or less. Penalties may apply if an employer violates the WARN Act.


Employers may not be required to give 60-day advance notice in the event of unforeseeable business circumstances or if the closing or mass layoff is due to a natural disaster.

RELATED TERMS
  1. Family And Medical Leave Act - ...

    The Family and Medical Leave Act (FMLA) was signed into law on ...
  2. Layoff

    1. When a company eliminates jobs regardless of how good the ...
  3. Severance Package

    A bundle of pay and benefits offered to an employee upon being ...
  4. Department Of Labor - DOL

    A U.S government cabinet body responsible for standards in occupational ...
  5. Employee Benefits Security Administration ...

    A division of the Department of Labor (DOL) charged with enforcing ...
  6. Back Pay

    The amount of salary and other benefits that an employee claims ...
RELATED FAQS
  1. Why did the U.S. government take control of the steel industry in 1952?

    In early 1950, Senator McCarthy began seeing communists in every shadow, prompting him to accuse the Truman administration ... Read Full Answer >>
Related Articles
  1. Personal Finance

    The Layoff Payoff: A Severance Package

    If you must leave your job, go out fighting for the best benefits you can get.
  2. Budgeting

    Layoff Protection Plans: Good Deal Or Gimmick?

    If you get laid off, these plans can be of great value, but the best protection may be to avoid big purchases altogether.
  3. Professionals

    Mass Layoffs: The Hardest-Hit States

    The mass layoff data for December has been released, and while the numbers are far from good, they have been a lot worse.
  4. Budgeting

    Layoffs: Know The WARNing Signs

    Layoff rumors can run rampant, but if your company is required to give you two months' notice, you can plan for unemployment.
  5. Economics

    America's Most Notorious Corporate Criminals

    Learn about the crimes and punishments of some of the most infamous convicted white-collar crooks.
  6. Investing

    Corporate Governance

    Corporate governance refers to the formally established guidelines that determine how a company is run. The company’s board of directors approves and periodically reviews the guidelines, which ...
  7. Investing Basics

    Enterprise Resource Planning System: A How To

    An ERP system won’t transform poor management into good management, but the real-time business analytics can help make good management even better.
  8. Investing Basics

    How To Calculate Goodwill

    Goodwill is an intangible, but it is still possible to effectively calculate or estimate goodwill for a company.
  9. Economics

    How does Outsourcing Work?

    Outsourcing is the business practice of hiring people outside a company to perform services that traditionally were performed within the company, by the business’s own employees. Companies typically ...
  10. Investing Basics

    Using Appreciative Inquiry To Solve Management Problems

    In its purest form, appreciative inquiry is a powerful tool for shifting the focus of an organization to something much greater than its bottom line - although the eventual outcome will often ...

You May Also Like

Hot Definitions
  1. Risk Averse

    A description of an investor who, when faced with two investments with a similar expected return (but different risks), will ...
  2. Fixed-Charge Coverage Ratio

    A ratio that indicates a firm's ability to satisfy fixed financing expenses, such as interest and leases. It is calculated ...
  3. Efficiency Ratio

    Ratios that are typically used to analyze how well a company uses its assets and liabilities internally. Efficiency Ratios ...
  4. Fixed Cost

    A cost that does not change with an increase or decrease in the amount of goods or services produced. Fixed costs are expenses ...
  5. Subsidy

    A benefit given by the government to groups or individuals usually in the form of a cash payment or tax reduction. The subsidy ...
  6. Sunk Cost

    A cost that has already been incurred and thus cannot be recovered. A sunk cost differs from other, future costs that a business ...
Trading Center