EMPLOYERS BEWARE: Not only is there a Worker Adjustment and Retraining Notification Act (WARN) under federal law that applies when an employer is downsizing its workforce or closing facilities, state law may also impose obligations on employers in that state to follow that are more restrictive than the federal WARN Act otherwise requires. For instance, in the State of Iowa, the Layoff Notification Law is triggered involving companies with 25 or more employees versus 100 or more employees under the WARN Act. The length of prior notice under Iowa state law is 30 days - the WARN Act is 60 days. There are other differences. So, if you are an employer and faced with the unpleasant decision to downsize, make sure you know what is required by law before the actual downsizing occurs. Severe penalties can be imposed if the law is not followed.
For more information on downsizing and risk management, contact the Goosmann Law Firm at info@goosmannlaw.com or call 712-226-4000.
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