WARN Act: Definition of Employment Loss

We invite your attention to our disclaimer.

Under the WARN Act, what is the definition or meaning of “Employment Loss?”

The term “employment loss” means:

1. An employment termination, other than a discharge for cause, vol­untary departure, or retirement;
   
   
2. A layoff exceeding 6 months; or
   
   
3. A reduction in hours of work of individual employees of more than 50% during each month of any 6-month period.

An exception to this definition of employment loss is a case where a worker is reassigned or transferred to employer-sponsored programs, such as retraining or job search activities and the reassignment does not constitute an involuntary termination or a constructive discharge, and the employee continues to be paid.