New York State WARN Act Imposes Greater Limits Than Federal Law

New York recently enacted a Worker Adjustment and Retraining Notification Act (“NY WARN”) to become effective on February 1, 2009. Because this new statute provides significantly broader coverage than its federal counterpart, employers are well-advised to revisit their compliance obligations prior to the effective date.

The federal Worker Adjustment and Retraining Notification Act (“federal WARN”) requires employers with more than 100 employees to provide at least 60 days’ advance written notice to employees affected by a “mass layoff” or “plant closing” or their union representatives, as well as similar notice to designated state and local government officials. Failure to give such notice may result in liability to affected employees for back wages and benefits for the period for which notice was not provided (up to the full 60 days), as well as civil fines.