California Layoff Laws

According to legal experts, California has some of the most stringent layoff laws in the nation. Arguably most prominent is the California Warn Act. Based upon its federal counterpart, this state version requires that businesses with 50 or more employees notify workers of impending layoffs at least 60 days in advance (the federal statute only applies to layoffs of 500 or more). In addition to the notifications required under the federal WARN, California employers are also required to notify the Local Workforce Investment Board, and the chief elected official of each city and county government within which the termination or mass layoff occurs. Violation of California WARN could constitute $500 in civil fines, plus back-pay to employees for each day they should have received proper notification. California is also known for having among the nation's most generous unemployment benefits.

Fast Facts

  • The California Warn Act became effective on January 1, 2003.
  • The California WARN Act also covers part-time workers (the federal version does not).

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