Key Terms and Definitions
Office Closing: The permanent or temporary shutdown of an employment site if the shutdown results in an employment loss of 50 or more employees (other than part-time employees) during any 30-day period.
Mass Layoff: A reduction in force (other than an office closing) that results in an employment loss at an employment site during any 30-day period for at least 50 employees who make up at least 33 percent of the active employees (other than part-time employees). Where 500 or more employees (excluding part-time employees) are affected, the 33 percent requirement does not apply.
Limited Exceptions to Time Limits: Notice may be sent with less than 60 days notice if the closing is the result of a natural disaster or if business circumstances were not reasonably foreseeable at the time the 60 day notice would have been required.
Required Elements for Notice: Whether the planned action is expected to be permanent or temporary and if the entire office is to be closed; the expected date when the office closing or mass layoff will commence and when employees will be separated; an indication whether or not “bumping rights” exist; an employing office official to contact for further information; and any other information useful to employees. When notice is given to employee representatives, notice requirements are slightly different.
Size Thresholds: Employing offices are covered if they employ 100 or more employees, excluding part-time employees; or 100 or more employees, including part-time employees, who in the aggregate work at least 4,000 hours per week, exclusive of overtime. Part-time employees are employees who work an average of less than 20 hours per week or who worked less than 6 months in the last 12 months (for example, seasonal employees).
Privatization or Sale of Operations: The employing office is responsible for providing notice of any office closing or mass layoff that takes place up to and including the effective date (time) of the privatization or sale.
Temporary Employment: Notice is not required if the closing is of a temporary facility or if the closing or layoff is the result of the completion of a particular project or undertaking. This exemption applies only if the affected employees were hired with the understanding that their employment was limited to the duration of the facility or the project or undertaking.
