Companion Guide

The WARN Act and AI Layoffs:
What You Need to Know

If your employer laid off 50 or more workers without giving 60 days written notice, they may owe you back pay for every day of the violation. Here is how the law works.

What is the WARN Act?

The Worker Adjustment and Retraining Notification Act (WARN Act) is a federal law that requires employers to give workers advance written notice before certain mass layoffs and plant closings. It was passed in 1988 to give workers and their families time to prepare for job loss.

The law is separate from the NLRA — it applies regardless of whether you have a union, regardless of whether you organized, and regardless of why the layoff is happening. It is purely about notice.

When does the WARN Act apply?

The federal WARN Act is triggered when an employer with 100 or more full-time employees conducts:

A mass layoff affecting 50 or more employees at a single site of employment during any 30-day period (and the affected employees make up at least 33% of the active workforce at that site) — OR 500+ employees regardless of percentage.

A plant closing resulting in employment loss for 50 or more employees at a single site during any 30-day period.

Aggregated layoffs that individually fall below the 50-employee threshold but collectively reach it within a 90-day period — unless the employer can demonstrate that each layoff was caused by a separate and distinct action.

If these conditions are met, the employer must provide 60 calendar days of written notice to affected workers, the state dislocated worker unit, and the chief elected official of the local government.

Why this matters for AI layoffs: Companies restructuring around AI often conduct rolling layoffs — cutting teams over weeks or months. If those cuts aggregate to 50+ employees at a single site within a 90-day window, the WARN Act may apply even if no single round hit 50 people. Many employers either don't realize this or hope workers won't notice.

What counts as a "single site of employment"?

This is one of the most contested questions in WARN Act litigation, especially for companies with remote workers. Generally, a single site of employment is a single location or a group of locations that form a campus or integrated workplace. For remote workers, courts have reached different conclusions — some assign remote workers to the office they report to; others look at where the worker is physically located.

If your company conducted AI-driven layoffs across a distributed workforce, this question matters. An employment attorney can help you evaluate how courts in your jurisdiction have interpreted "single site" for remote teams.

What does the WARN Act require?

The notice must be written, it must be provided directly to each affected employee (or to their union representative if applicable), and it must come at least 60 calendar days before the layoff takes effect. Email counts as written notice — but a general company-wide announcement is not sufficient. The notice must specifically identify who is being laid off and when.

What if your employer violated the WARN Act?

If your employer failed to give adequate notice, you may be entitled to:

Back pay and benefits for each day of the violation period, up to 60 days. This means: if your employer gave you zero notice, you may be owed up to 60 days of pay and the value of 60 days of benefits (including the employer's share of health insurance premiums).

The employer may also face civil penalties of up to $500 per day of violation.

WARN Act claims are enforced through private lawsuits in federal court — not through the NLRB. You will need an attorney. Many employment attorneys handle WARN Act cases on contingency (no upfront cost; they collect a percentage of the recovery). Class action lawsuits are common, because WARN Act violations typically affect many workers at once.

State laws that go further

Several states have enacted their own versions of the WARN Act with stronger protections. If you are in one of these states, the state law may give you additional rights beyond the federal minimum.

State Key Differences from Federal WARN
California Covers employers with 75+ employees. Triggered by layoffs of 50+ workers. No 33% threshold — the raw number triggers it. Covers relocations.
New York Requires 90 days notice (vs. 60 federal). Covers employers with 50+ employees. Lower trigger thresholds overall.
Illinois Covers employers with 75+ employees. Triggered by layoffs of 25+ workers (much lower than federal). Requires 60 days notice.
New Jersey Covers employers with 100+ employees. Requires 90 days notice. Requires severance pay of one week per year of service if proper notice isn't given.
Tennessee Covers employers with 50-99 employees (below the federal threshold). Requires notice to the state commissioner.
Wisconsin Covers employers with 50+ employees. Triggered by layoffs of 25+ workers. Requires 60 days notice.

Other states — including Maine, Iowa, New Hampshire, and Maryland — have additional provisions. Check your state's labor department website or consult an attorney familiar with your state's laws.

What to do right now

1. Count the layoffs. Try to determine how many workers were laid off at your site (or assigned to your site) within the last 90 days. If the total reaches 50 or more, the WARN Act may apply.

2. Check the notice you received. Did you receive written, individualized notice at least 60 days before your layoff date? A company-wide email announcing "restructuring" may not satisfy the legal requirement.

3. Check your state's law. If you are in California, New York, Illinois, New Jersey, or another state with a mini-WARN Act, the thresholds may be lower and the notice period may be longer.

4. Consult an employment attorney. WARN Act cases are typically handled on contingency. Search "WARN Act attorney [your city]" or "mass layoff attorney [your state]." Many firms specialize in this.

5. Act promptly. The statute of limitations for federal WARN Act claims is generally 3 years, but state deadlines vary and evidence becomes harder to gather over time. Don't wait.

Know all your rights — not just the WARN Act

The WARN Act is one tool. The NLRA gives you additional protections for collective action. Read the full guide.

Read the Full Rights Guide →