In a Tampa Bay Business Journal article on March 6, 2019, Stephanie Lieb discussed the Federal Worker Adjustment and Retraining Notification Act, or WARN Act, in light of several class action lawsuits being filed against Tampa-based Laser Spine Institute (LSI) by its former employees after the company recently closed its doors. The lawsuits allege that LSI violated the WARN Act, which requires companies to provide employees 60-day notice of their termination before an anticipated closure.
Lieb explained that the WARN Act is a federal law that has been adopted by a number of states and is meant to protect employees when a company closes a plant or shuts down by requiring notice to be given to employees before that happens. However, Lieb noted that, “The lawsuits are common when closures are announced.”
Lieb points out that while a 60-day notice is required, the Act allows for several affirmative defenses, which LSI could possibly use. “There are three defenses to the 60-day requirement: natural disaster, the second is unforeseeable business circumstances and the third is the faltering company exception.”
You may view the full article by clicking here.
