The purpose of the WARN act and its pros and cons
The WARN Act is a law that formulated to cater for mass layoffs of employees. This law will provide a protective shield to various employees and their individual families by notification to the employees before the closure of the plants they are working in within a 60 day period (Ford et al, 2000). This law majorly applies to companies with a high number of employees and in this case the company that is about to undergo closure has 73 employees.
The pros of the WARN Act basically cater for the needs of the employees, because such a large layoff will lead to a great number of people being without jobs for quite a long while. The act becomes advantageous because it enables employees to be earlier notified before they can totally stop earning (Lee et al, 2007). The cons of the WARN Act is that it does not effectively cater for all employees who are being let go because with companies with less than fifty employees they are not bounded by the law.
Evaluation of the human resource plan
The human resource plan was set forth to effectively let a set number of employees go within a particular period after the notification to ensure that the closure of company was systematic and proper. The hourly workers are the first to be laid off …show more content…
If the law is not properly followed it might end up costing the company more from any unwanted payments that would be caused by lack of proper procedure. The courts would favor the employees in such cases because they are looked at as the people who will experience a larger lose even though the company is being closed. For proper a plan of closure the company should layoff the employees 60 days after they have provide the notification of closure, this is in tandem with the WARN