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Downsizing and Closing

Considering a layoff?
Need to comply with governmental regulations?
Need to find assistance for yourself and your workers?

There is help available...

Even in our robust economy, layoffs, downsizing and restructuring continue to occur as businesses adjust to this tremendous growth. America's workforce development system provides assistance to both employers and workers to manage this change and lessen the impact on workers and communities. Services within your State and local area will assist you in transitioning your workers. Contact your State Dislocated Worker Unit to find more information on Rapid Response services and governmental requirements.

Services to assist you through a layoff

If you are laying off workers or anticipating a business closure or mass layoff, Rapid Response services can help employers meet their business needs while recognizing the needs of their workers and communities. You will find information on how to help you workers adjust to this change. Rapid Response assistance can help you keep productivity high, costs low, and maintain a positive work environment for your workers.

If you are laying off workers due to direct or indirect import competition or because you shifted production outside this country, individualized assistance may be available to you to help your workers under the Trade Adjustment Assistance program. As an employer, you may file a TAA petition on behalf of your workers. This assistance is at no cost to you.

Workforce Adjustment Committees have proven to be an effective tool in managing a layoff event. Your State DWU may be able to provide financial or technical assist to you in establishing one.

Learn more about workforce adjustment committees.

Services to help plan for and avoid future layoffs

State incumbent worker training programs may be available to help you upgrade your workers' skills. Your State Division of Economic Development helps existing businesses expand and assists local development efforts. The U.S. Department of Commerce promotes job creation, economic growth, sustainable development and improved living standards by working in partnership with business, universities, communities and workers to ensure sustainable economic opportunities. UI Short-Time Compensation (STC) may be available for employees to work shorter hours instead of being laid off and be compensated for their lost work time with partial unemployment benefits.

Manufacturing Extension Partnerships are a nationwide network of not-for-profit centers in over 400 locations nationwide, whose sole purpose is to provide small and medium-sized manufacturers with the help they need to succeed.

Consider selling your business to a buyer, several buyers, a management group or employees.

If you are located in a Rural Area, the U.S. Department of Agriculture's Rural Business-Cooperative Service may assist you.

Services to help you access skilled job seekers

Find information specific for your local area.

Meeting governmental reporting requirements

Under certain conditions, the Worker Adjustment and Retraining Notification (WARN) Act requires employers to give their workers 60 days notice before a plant closing or mass layoff. All employers are encouraged to provide notice to the State Dislocated Worker Unit as quickly as possible. Some States also have plant closure laws, and those state laws may be different. If you are an employer facing the prospect of a layoff, contact your State Dislocated Worker Unit immediately to find out more information on notice requirements in your area.

Rights and responsibilities under employment laws and regulations

Elaws Advisors help you understand your rights and responsibilities under the employment laws and regulations, such as the WARN Act, administered by the Department of Labor (DOL). Each Advisor imitates the interaction you might have with a DOL employment law expert--it asks questions and provides answers based on your responses.