Reducing your New Jersey workforce just became more
expensive.
On January 21, 2020, Governor Phil Murphy signed into law Senate
Bill 3170. This bill radically expands employers' advance
notice and severance pay obligations under the Millville Dallas
Airmotive Plant Job Loss Notification Act (NJ WARN), making the New
Jersey statute the most burdensome and costly reduction-in-force
law in the country.
Starting July 19, 2020, the following changes to NJ WARN will be
in force:
- NJ WARN is now triggered by a
termination of 50 employees, regardless of tenure or hours of work,
aggregating all terminations across the state and regardless of
where within the state the terminations occur. The bill
eliminates the law's prior focus on the number of terminations
at a single place of employment, unlike nearly every other WARN and
mini-WARN Act in the nation.1 It eliminates the
requirement of not counting "part time" employees (those
with less than six months of service or