WARN Act
Also known as: Worker Adjustment and Retraining Notification Act, Federal WARN, Mini-WARN
The WARN Act (Worker Adjustment and Retraining Notification Act of 1988) is a US federal law requiring employers with 100+ employees to give 60 calendar days' advance written notice of a mass layoff or plant closing to affected workers, state agencies, and local government. Failure to provide notice triggers liability for back pay, benefits, and civil penalties for the missed notice period.
WARN exists to give workers, communities, and states time to react before a large workforce reduction lands. The 60-day notice window lets affected employees begin job searches and gives state rapid-response teams time to mobilize retraining and unemployment services. Several states have stricter "mini-WARN" laws — California, New York, New Jersey, Illinois, and Washington have lower thresholds, longer notice periods, or both. Layoff planning in the US has to consider both federal WARN and any state mini-WARN that applies.
When WARN is triggered
- Mass layoff: 50+ employees at a single site if at least 33% of the workforce, OR 500+ employees regardless of percentage
- Plant closing: shutdown of a single site that results in employment loss for 50+ employees during any 30-day period
- 30-day aggregation: layoffs within 30 days that combined cross the threshold trigger WARN
- 90-day aggregation: separate smaller layoffs within 90 days can be aggregated unless the employer proves they are unrelated
Who must receive notice
- Affected employees (individually) or their union representative
- State dislocated worker unit (the state rapid-response team)
- Chief elected official of the local government where the layoff occurs
Penalties for failure
If the employer fails to give 60-day notice, affected employees are entitled to back pay (at their pre-layoff rate) and benefits for each missed day of notice — up to 60 days. The employer also faces a $500/day civil penalty payable to the local government, capped at $30,000. State mini-WARN laws often carry independent penalties on top, including in some cases statutory damages and attorney fees.
Frequently asked questions
- What does WARN Act stand for?
- WARN stands for the Worker Adjustment and Retraining Notification Act of 1988 — a US federal law requiring 60 days' advance notice of mass layoffs or plant closings.
- Does WARN apply to my small business?
- Federal WARN applies to employers with 100+ employees. Below that, federal WARN does not apply — though state mini-WARN laws often have lower thresholds (e.g., California WARN applies at 75 employees).
- What if my state has stricter WARN rules?
- Comply with both. State mini-WARN laws (California, New York, New Jersey, Illinois, Washington, others) often have lower thresholds, longer notice periods, broader penalties. You must satisfy whichever law is stricter for each layoff.
- What if I miss the 60-day notice?
- You owe affected employees back pay and benefits for each day of missed notice (up to 60 days), plus a $500/day civil penalty to the local government (cap $30,000). State law may add separate penalties.