With sequestration delayed until early March, contractors should consider issuing sequestration-related layoff notices despite an absence of guidance from the Obama administration, according to a law firm.
In an analysis by Littler Mendelson, a labor and employment law firm, government contractors could face lawsuits if they do not issue layoff notices to comply with the 1988 Worker Adjustment and Retraining Notification Act.
The law requires any company with more than 100 employees to issue layoff notices 60 days in advance of any mass layoff or plant closure. With sequestration delayed by the major budget agreement signed by President Obama on Tuesday, the briefing says, companies may need to act fast to avoid falling afoul of federal or state versions of the WARN Act.
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