Guide · Labor and Employment
Reductions in Force and Severance: A Comprehensive Guide to WARN, OWBPA, and Separation Agreements
29 U.S.C. §§ 2101
- Type
- Guide
- Jurisdiction
- National
- Date
- 2024-08-23
- Topic
- Labor and Employment
A comprehensive treatment of workforce reductions and separation agreements. Part I builds the WARN Act element by element — covered employer, plant closing, mass layoff, employment loss including the reduced-hours prong, single site of employment, the 90-day aggregation rule, the three narrow exceptions, sale-of-business allocation, notice recipients and content, and the remedial structure including the cap and the unavailability of injunctive relief — then maps the state mini-WARN patchwork and how to build a multi-site compliance matrix. Part II covers selection: the hierarchy of defensible criteria, disparate treatment and disparate impact under Title VII and the ADEA including the employer's burden to prove a reasonable factor other than age after Meacham, how to run and privilege an adverse impact analysis, and the protected-status screen. Part III covers the separation agreement: the OWBPA's seven elements and group disclosure requirements, what a release can never waive, the McLaren Macomb limits on confidentiality and non-disparagement, restrictive covenants, and drafting the document. Part IV covers the collateral obligations — effects bargaining, ERISA plan status and Section 510, COBRA, Section 409A, final pay, unemployment, and immigration. Part V provides a project plan.
The full text of this document is available to Executive subscribers and above. See plans.