Committee on Education and Labor : U.S. House of Representatives

Press Releases

Miller Introduces Bill to Strengthen Notices to Workers Affected by Plant Closures or Mass Layoffs

Thursday, October 11, 2007

 

WASHINGTON, DC -- Rep. George Miller (D-CA), chairman of the House Education and Labor Committee, introduced legislation yesterday to minimize the devastating impact of plant closures and mass layoffs on workers, their families and their communities.

“Workers deserve more than just a pink slip when they lose their job because of our nation’s trade policies,” said Miller. “While an early warning may not save their job, a meaningful early notice will help them prepare to find a new job or upgrade their skills for new employment.”

H.R. 3796, the Early Warning and Health Care for Workers Affected by Globalization Act, would ensure that workers who are about to lose their jobs are given enough notice so they can learn about and access important services available to them.  

The Government Accountability Office found that many employers didn’t properly notify workers because of the law’s numerous loopholes and confusing provisions. Nearly two-thirds of mass layoffs and plants closures in 2001 did not come with the required 60-day notice, according to the 2003 GAO report.

The GAO also found that workers are largely unaware of their rights to receive proper notice and other vital information that may assist them in their transition. H.R. 3796 would require employers to inform workers of the benefits and services that would help them with an impending job loss such as unemployment compensation and job training programs, among others.

Under the legislation, if a company fails to notify employees, workers would be able to sue for double back pay for each day they failed to make a required notice.   

The bill would also extend the time period that workers can continue their health coverage at their own expense with their former employer at cheaper group rates, also known as COBRA. Workers over age 55 who lose their jobs because of trade and who have worked with the same employer for over ten years could pay for COBRA coverage until they become Medicare eligible at age 65 or obtain health care through a subsequent employer.


To learn more about the WARN Act, click here.

To read the GAO report on the WARN Act, click here.

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FOR IMMEDIATE RELEASE
Contact: Tom Kiley / Rachel Racusen
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Washington, DC 20515
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