TRENTON – Legislation that would expand requirements for businesses to provide advance notice of mass layoffs was released Monday by an Assembly panel.
The bill (A-3583) revises state law to require franchisors or holding companies to provide 60 days notice of closing and mass layoffs. State law currently only requires single establishments to give such notice.
The bill would not alter the requirement in existing state law that the employer who conducts the mass layoff provide each full-time terminated employee with severance pay equal to one week of pay for each full year of employment.
The rate of severance pay shall be the average regular rate of compensation received during the employee’s last three years of employment with the employer or the final regular rate of compensation paid to the employee, whichever rate is higher.
The bill was released 5-2-1 by the Assembly Labor Committee.
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