- Employers
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As of July 27, 2025, the state expanded on the Worker Adjustment and Retraining Notification (WARN) Act. The WARN Act requires companies planning a mass layoff to notify workers 60 days before the closure. The new law enforces stricter penalties for businesses that do not comply with it. It also now applies to more organizations.
When the WARN Act applies
The WARN Act applies in some situations when an employer closes a worksite, does a mass layoff, or even reduces hours. But not every closure, layoff or reduction in hours meets the criteria.
Closures
It applies if an employer closes a facility or operating unit. The closure needs to affect 50 or more full-time employees at a single worksite. Permanent or temporary closures apply.
Mass layoffs
It applies when an employer performs a mass layoff. It applies even when the layoffs are temporary if it is for longer than 6 months.
A mass layoff is when, during a 30-day period at a single site of employment, you lay off either:
- 500 or more full-time employees.
- 50 or more full-time workers when the layoff affects 33% of your active workforce.
Reduced hours
It applies when an employer reduces the hours of 50 or more workers by 50% or more for each month in a 6-month period.
Penalties
A business that does not comply with the law will need to pay up to $500 for each day of the violation. This happens if an employer fails to both:
- Notify workers 60 days before a closure, mass layoff or reduction of hours.
- Pay employees back pay and the cost of benefits they were entitled to for each day of the violation.
Businesses need to make these payments within 3 weeks of ordering the closure, mass layoff or reduction of hours.