Buckeye Reporter

Today, U.S. Representatives Congressman Tim Ryan (OH-13) and David Trone (MD-06) introduced a revised version of the Fair Warning Act to strengthen worker protections. Sens. Sherrod Brown (D-OH) and Patty Murray (D-WA) introduced companion bill legislation in the Senate.

The legislation amends the Worker Adjustment and Retraining Notification (WARN) Act to provide workers with fair, advanced notice from layoffs or business closures. In 1988, Congress passed the WARN Act to give workers and communities 60 days advance notice of an impending site closing or mass layoff. However, the effectiveness of the existing WARN Act has been undermined by loopholes and weak enforcement.

"Workers deserve better than losing their jobs and their livelihoods without any notice,” said Congressman Tim Ryan. “With the Fair Warning Act, Congress is putting an end to this kind of shameful practice, strengthening worker protections and holding businesses accountable. It's far past time that workers in Ohio and across the country are treated with the dignity and respect they deserve.”

“America’s workers are the backbone of our economy. If their workplace plans to close, they deserve to know as soon as possible so they can make plans to take care of themselves and their families,” said Congressman Trone. “The Fair Warning Act will fill current gaps in the law to ensure greater worker protections against abrupt, mass layoffs in towns across the country. As someone who built a business from the ground up with the support of a strong workforce, I know this is just the right thing to do.”

The Fair Warning Act includes a number of provisions that better protect workers, hold employers accountable and improve the WARN Act. The bill makes the following, pro-worker changes to the WARN statute:

Who is Considered an Employer:  Current WARN Act requirements do not apply to employers that have fewer than 100 employees, excluding part-time employees.  The Fair Warning Act of 2022 expands the statute to apply to any business that employs 50 or more employees, including part-time employees, or has an annual payroll of $2 million.  It makes an employer’s affiliate liable when it causes it to violate the WARN Act.

Who Gets A WARN Notice:  The WARN Act does not require layoff or closure notification in enough circumstances and allows employers to layoff with no notification including when employees are spread around different worksites or are considered part-time employees.  The Fair Warning Act of 2022 fixes these weaknesses by requiring employers to issue a notice when a layoff affects 10 or more employees, including part-time employees, at one worksite or 250 or more employees, including part-time employees, at an employer across multiple sites.  It also requires a notice when a site closing affects 5 or more full-time and part-time employees.  It requires that employees working remotely be counted and provided notice.

When WARN Notices Are Issued:  Currently, employers are required to give only 60 days’ notice in the event of a mass layoff or worksite closure.  That’s not enough time for the workers or communities to prepare.  The Fair Warning Act of 2022 prevents employers from ordering a mass layoff or closing a worksite until 90 days’ notice has been provided.  It requires that temporary layoffs include participation in short-time compensation and a recall date.  In addition, the Fair Warning Act of 2022 requires the state to establish a Rapid Response committee and an individual to lead that committee within 20 days of a WARN notice being issued so that affected employees can quickly get the training and other support services they need to prepare for their job loss.

Strengthening WARN Enforcement: The Fair Warning Act of 2022 strengthens enforcement of WARN requirements by making employers liable for liquidated damages equal to 30-days of back pay in addition to the back pay and benefits they owe under current law.  The Fair Warning Act of 2022 also protects employees’ right to bring a class action lawsuit for WARN violations even if the employer says they should be subjected to mandatory arbitration.

Tracking WARN Notices:  The Fair Warning Act of 2022 requires DOL to create and make public a searchable database of all WARN notices to help the public and policymakers track when and where layoffs and business closures occur.

Original source can be found here.