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CNS News...
Republicans Question Labor Department’s ‘Misleading’ Guidance on Federal Contractors
By Susan Jones
August 3, 2012 

(CNSNews.com) – How did you come up with that one? 

House Republicans want to know how and why President Obama’s Labor Department decided that businesses do not need to give federal contractors 60 days’ notice of the mass layoffs that are set to happen on Jan. 2 -- unless Congress does something to stop the automatic budget cuts (sequestration) that will take effect on that date. 

On Thursday, Rep. John Kline (R-Minn.), chairman of the House Education and Workforce Committee, along with Reps. Tim Walberg (R-Mich.) and Phil Roe (R-Tenn.) sent a letter to Labor Secretary Hilda Solis, requesting information “related to the development of controversial guidance” concerning sequestration and advance notice of impending layoffs. 

Federal law -- the WARN Act -- requires businesses with more than 100 employees to give employees 60 days’ notice of mass layoffs or plant closings. That means notices for mass layoffs on Jan. 2 would have to go out no later than Nov. 2 -- which is just four days before the Nov. 6 presidential election. 

On July 30, the Labor Department issued “guidance,” stating that federal contractors affected by sequestration do not need to provide 60 days’ advance notice of mass layoffs. Doing so “would be inconsistent with the purpose of the WARN Act,” the guidance said. 

In their letter to Solis, Reps. Kline, Walberg and Roe called the guidance “misleading and incomplete.” 

“In short, the department creates the false impression that the guidance confers blanket immunity from the WARN Act, when in reality a contractor’s failure to issue 60-day notices regarding sequestration-caused layoffs could result in costly private litigation... 

Read the rest of the article at CNS News


 
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