Employers in Financial Trouble get hit with More Anti-Business Laws in NJ
New Jersey’s mini-WARN Act (NJ WARN) requires employers to give advance notice to employees in the event of a mass layoff, plant closing, or reduction in force. Recent amendments to NJ WARN require employers to pay mandatory severance to employees terminated in a qualifying layoff, even with timely notice given.
NJ WARN now applies to employers with at least 100 employees nationwide, is triggered by termination of 50 or more employees in a 30-day period, and has increased the notice period to 90 days. Additionally, NJ WARN now requires employers to pay one week of severance for each year of service to each terminated employee. These amendments took effect on April 10, 2023. Employers conducting layoffs impacting New Jersey employees should review their workforce reduction plans and policies to ensure they remain compliant.
Once again, Gov. Murphy is making New Jersey an extremely tough place to do business. Sometimes the best Tax and Legal Advice is for businesses to leave NJ if they can.