If your employer announces layoffs, the first document you may see is a WARN notice. It is a written warning, required by law in certain situations, that your job is going to end on a specific date. It is not a courtesy. When the law requires one and an employer skips it or sends it late, affected workers can have a claim for back pay and benefits.
California has its own version of the law, and it covers far more workers than the federal rule does. Here is how both work, how to tell whether your layoff was covered, and what to do if you received a notice (or should have).
What Is a WARN Notice?
A WARN notice is advance written notice of a plant closing, mass layoff, or relocation. The name comes from the federal Worker Adjustment and Retraining Notification Act, passed in 1988. The idea is simple: workers get time to look for new jobs, apply for retraining, and plan for a gap in income before the paychecks stop.
A WARN notice generally has to reach affected employees at least 60 calendar days before the job loss. Copies also go to government agencies so they can offer job-search and retraining help to the workers affected.
Does the WARN Act Apply in California?
Yes, and in two layers. The federal WARN Act applies nationwide, including in California. California also has its own law, commonly called Cal-WARN, found in California Labor Code sections 1400–1408. When both apply, the employer has to satisfy both.
In practice, Cal-WARN is usually the one that matters for California workers, because it is triggered in many situations where the federal law is not.
Federal WARN vs. California WARN: The Key Differences
| Federal WARN Act | California WARN Act | |
| Who is covered | Employers with 100+ employees (generally not counting part-time workers) | A “covered establishment” that employs, or employed in the prior 12 months, 75+ people, full- and part-time |
| Mass layoff trigger | 500+ workers at one site, or 50–499 if they make up at least 33% of the site’s workforce | 50+ employees laid off within 30 days, no percentage requirement |
| Plant closing / termination | 50+ employees lose jobs at a single site | Shutdown of all or substantially all operations at a covered establishment, regardless of headcount affected |
| Relocation | Not a separate trigger | Moving all or substantially all operations 100+ miles away |
| Notice period | 60 calendar days | 60 calendar days |
What is the 33% rule?
The “33% rule” is a federal concept. Under federal WARN, a layoff of 50 to 499 full-time workers at one site only counts as a mass layoff if those workers make up at least one-third of the site’s full-time workforce, according to the Department of Labor’s worker guide.
California has no 33% rule. Under Cal-WARN, laying off 50 or more employees at a covered establishment within a 30-day period is enough, whether that is 5% of the workforce or 50%. This is the single biggest reason a layoff can fall outside federal WARN and still require notice in California.
Who counts as an “employee” under Cal-WARN?
Cal-WARN counts part-time workers toward the 75-person threshold, which the federal law generally does not. For purposes of who is owed notice, the statute defines an employee as someone who worked for the employer for at least six of the 12 months before notice was due. Newer hires may fall outside that definition, which is one of several details worth reviewing with an attorney if you are unsure where you stand.
What Must a California WARN Notice Include?
As of January 1, 2026, California requires more than a basic “your job is ending” letter. Senate Bill 617 amended Labor Code section 1401 and expanded what every Cal-WARN notice must contain. Notices now have to state whether the employer plans to coordinate services, such as a rapid response orientation, through the local workforce development board or another entity, along with contact information and a description of available services.
Notices issued in 2026 and later must also include information about CalFresh, California’s food assistance program, and a working email address and phone number where employees can ask questions about the layoff.
Under Cal-WARN, the notice must go to:
- Affected employees
- The California Employment Development Department (EDD)
- The local workforce development board
- The chief elected official of each city and county where the layoff happens
A notice that arrives on time but leaves out required information may not satisfy the law. If you received a notice in 2026 that is only a few lines long, it is worth having it reviewed.
What Happens If an Employer Doesn’t Give Proper Notice?
When a covered employer orders a mass layoff, termination, or relocation without the required notice, affected employees can bring a claim for:
- Back pay for each day of the violation, calculated at the higher of the employee’s final rate of pay or their average rate over the last three years
- Lost benefits, including medical expenses that the employer’s health plan would have covered
- Attorney’s fees, which a court may award to employees who prevail
The violation period is capped at 60 days, or half the number of days the employee worked for the employer, whichever is shorter. Wages the employer paid during that period, and certain voluntary payments not required by law, reduce the amount owed.
Separately, a noncompliant employer can face a civil penalty of up to $500 for each day of the violation.
Are there exceptions?
A few, and they are narrow. Notice is not required when a layoff is caused by a physical calamity or act of war. A limited exception also exists for a “faltering company” that was actively seeking financing that would have been jeopardized by giving notice, and it applies only to terminations and relocations. California’s exceptions are narrower than those in the federal law, so an employer that followed federal rules may still have fallen short in California.
I Got a WARN Notice. What Should I Do?
A WARN notice does not mean anything is wrong. It means the employer is following the law. Even so, a few steps protect you:
- Keep the notice and note the date you received it. Count the days between receipt and your separation date. Fewer than 60 is a red flag.
- Read it for the required 2026 content. Look for the workforce board information, CalFresh details, and a working contact email and phone number.
- Plan for your final paycheck. California has strict timing rules for final wages after termination, including payout of earned vacation.
- Apply for unemployment once your job ends. The EDD’s WARN page also lists local workforce resources.
- Look at who was selected. A lawful layoff can still be carried out unlawfully (see below).
When a Layoff Is Something Else
Layoffs are a legitimate business decision. They are not a shield. The WARN Act controls when an employer has to give notice. It does not decide who the employer can let go.
If the layoff list lines up with a protected characteristic, such as workers over 40, pregnant employees, or employees on protected medical leave, that pattern can support a discrimination claim under California’s Fair Employment and Housing Act (FEHA). And if you were included shortly after reporting sexual harassment to HR or a manager, the timing matters. California law prohibits employers from retaliating against employees for complaining about harassment, and a restructuring does not change that. We cover this scenario in more detail in What Happens If You Report Harassment and They Fire You Anyway?
Signs worth paying attention to include:
- You recently made a sexual harassment complaint and your position was eliminated soon after
- Your role was “eliminated,” but someone else is now doing the same job
- The layoff criteria were vague, changed partway through, or were never explained
- Most of the people selected share a protected characteristic
Frequently Asked Questions
Does the WARN Act apply to small businesses in California? Cal-WARN applies to covered establishments that employ, or have employed in the past 12 months, 75 or more full- and part-time workers. Smaller businesses generally are not covered, though other California employment laws still apply to them.
Can my employer pay me instead of giving 60 days’ notice? Wages paid during the violation period reduce what an employer owes under the statute. Some employers keep affected workers on payroll through the full 60 days for this reason. Whether a particular arrangement satisfies the law depends on the details.
Who enforces the California WARN Act? Employees can file a civil action in court. The EDD directs people who want to report a possible violation to the California Department of Industrial Relations.
Do remote workers count? Coverage turns on the “covered establishment,” and how remote employees are assigned to a site can be disputed. If you work remotely and were part of a large layoff, have an attorney look at how your employer counted you.
Talk to a California Employment Lawyer
If you were laid off without proper notice, or you believe you were selected for a layoff because of who you are or because you reported harassment, Malk Law Firm can review what happened. Michael Malk has represented California and Washington employees since founding the firm in 2007, with a focus on workplace sexual harassment and discrimination.
Contact us for a free case review.
This article provides general information about California and federal law and is not legal advice. Reading it does not create an attorney-client relationship.