What is the purpose of the WARN Act?

Study for the SHRM US Employment Laws and Regulations Test. Use flashcards and multiple choice questions with hints and explanations. Get exam ready!

The WARN Act, or the Worker Adjustment and Retraining Notification Act, is designed specifically to require employers to provide workers with advance notice of significant layoffs or plant closures. This federal law applies to employers with 100 or more employees and mandates that they notify affected employees, as well as state and local governments, at least 60 days in advance of covered plant closings and mass layoffs.

The rationale behind this requirement is to give employees the opportunity to prepare for the transition, seek new employment, or pursue training. This advance notice aims to reduce the impact of sudden job loss on employees and their families by allowing them to make necessary arrangements and provide for their economic stability.

In contrast, other choices relate to different aspects of employment and labor rights. Ensuring fair wages is covered under various labor laws but is not the primary focus of the WARN Act. Protecting employee rights during negotiations pertains to collective bargaining practices. Setting guidelines for workplace safety refers to regulations governed by agencies like OSHA, focusing on maintaining safe working conditions rather than addressing job security issues like those under the WARN Act.

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