HR 5761119th CongressIn Committee

Fair Warning Act of 2025

Introduced: Oct 14, 2025

Sponsor: Rep. Sykes, Emilia Strong [D-OH-13] (D-Ohio)

Standard Summary

Comprehensive overview in 1-2 paragraphs

The Fair Warning Act of 2025 would substantially widen, strengthen, and enforce the Worker Adjustment and Retraining Notification (WARN) Act. It lowers the size threshold for coverage, broadens who counts as an employer, and expands the group of workers whose employment loss triggers required notice. It also tightens enforcement with new penalties, creates a federal public database of notices, and ties WARN-related information to workforce services under the Workforce Innovation and Opportunity Act (WIOA). The bill also adds protections for workers’ rights to seek remedies (including class actions) and requires employers to provide information about benefits and services available to affected workers. In short, if enacted, more employers (including some smaller firms and multi-entity arrangements) would owe advance notice and face stronger consequences for failure to notify workers about plant/site closures or mass layoffs, while workers would have better access to information, rapid response services, and benefits.

Key Points

1Expanded coverage and definitions
2- Affected employees include both full-time and part-time workers who may reasonably face employment loss from a site closing or mass layoff.
3- An employer is defined as any business with 50+ employees (including part-timers) or an annual payroll of at least $2,000,000, with liability rules extending to parents, affiliates, or contracting companies based on control or integration.
4- Remote employees connected to a site (e.g., those who work remotely and are tied to the site) are included in calculations for site closings and mass layoffs.
5- Employment loss can include significant hour reductions (more than 50% in any 90-day period) as well as terminations and layoffs.
6Notice requirements and timing
7- Employers must give 90 calendar days’ written notice before a site closing or mass layoff, with notices to affected employees, their representatives, the state and local authorities, and rapid response partners.
8- The bill introduces reduced notice only in specific circumstances (e.g., new business financing opportunities, or natural disasters, terrorist attacks, or public health emergencies), with criteria and liability for partial notice.
9Temporary mass layoffs and site closings
10- For temporary layoffs/closures, employers must provide recall dates and, during the layoff, provide short-time compensation (STC) to employees.
11- If recall is delayed beyond the stated date without proper extension and notice, employers face back pay and benefits liability for up to 90 days, with potential extensions.
12Penalties, remedies, and enforcement
13- Liquidated damages equal to 30 days of back pay (at the relevant wage rate) are authorized, with a liability framework that creates a potential total liability around 90 days of back pay (plus additional days for certain types of leave) for failure to provide required notice.
14- Private right of action is allowed in federal district court; rights cannot be waived through most settlements or predispute agreements.
15- The statute of limitations for enforcement is four years after the last event of violation.
16Notices, postings, and information for workers
17- Employers must post notices on-site and provide information about wages, severance, benefits, and access to Department of Labor services.
18- Notices must include the number of affected employees, reasons for the layoff/closing, whether layoff is temporary or permanent, recall information, and contact information for benefits and services.
19Public database and information sharing
20- The Department of Labor (DOL) will maintain a publicly accessible database of WARN notices with searchable fields (employer, location, number affected, industry, etc.) and allow data downloads.
21- The WIOA rapid response system would receive copies of notices and become able to coordinate reemployment and training services more quickly, with an added link to the WARN notices in the WIOA framework.
22Benefits guide and rapid response access
23- The Secretary of Labor would maintain a guide describing unemployment compensation, trade adjustment assistance, COBRA, and other training and counseling options, available to affected workers.
24- Employers must provide this guide to affected workers when issuing WARN notices; rapid response teams must have access to the workplace to assist workers.
25Exemptions and conformity
26- Exemptions exist for closings/layoffs tied to the completion of a specific project or undertaking where the duration and approximate completion are reasonably predictable.
27- The bill makes conforming changes to align WARN with the broader statutory framework and codifies related amendments to other laws.

Impact Areas

Primary (Directly affected)- Workers facing site closures or mass layoffs: stronger protections, longer advance notice, greater access to training and benefits, and enforceable remedies if notice is inadequate.- Small to mid-sized employers and employers with multi-entity structures: broader coverage even for smaller firms (thresholds lowered to 50 employees or $2M payroll) and potential liability across affiliates/contractors.Secondary (Broader systems and governance)- State and local governments and rapid response entities: greater responsibilities for rapid response coordination, information sharing, and local planning.- Department of Labor and workforce development programs: new data, a centralized WARN notices database, and enhanced linking of WARN notices to training and unemployment services.Additional/Other impacts- Business planning and costs: increased compliance burden, potential liability for notice failures, and higher expected costs related to STC provisions and early recall obligations.- Local economies and communities: earlier visibility into plant/site closures and layoffs could affect workforce transition planning, retraining, and community services.The bill status is “Introduced” in the 119th Congress and has not been enacted. If enacted, it would represent a significant expansion of WARN protections, with substantial implications for employers, workers, and state/federal workforce programs.

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