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A ‘Sequestration’ WARN applicability question to my employer

Sequestration talk is getting beyond nervous chatter and a lot of folks are genuinely scared/concerned. So, I went and submitted this question on our CEO’s intranet blog this morning. I will update if I hear something back.

Considering that the Labor Department has provided ‘guidance’ on the WARN Act, stating that it does not apply to ‘Sequestration’ [http://www.acq.osd.mil/dpap/ops/docs/TEGL_3a_12.pdf], yet “The Department of Labor, since it has no administrative or enforcement responsibility under WARN, cannot provide specific advice or guidance with respect to individual situations”, according to their own website [http://www.doleta.gov/programs/factsht/warn.htm] – what is your interpretation?

Senator Inhofe (R-OK) has a press release on his website warning corporations about this ‘guidance’ in short stating, “…sequestration is the current law of the land as is the WARN Act. The Department of Labor’s guidance letter states that the WARN Act does not apply to workers who only have a ‘speculative’ chance of losing their jobs. But the sequestration provisions of the Budget Control Act of 2011 are not speculative; rather, they are law and will go into effect on Jan. 2. Simply because some in Congress have contemplated amending or eliminating the sequestration provisions…does not make the consequences of the law speculative.” [http://inhofe.senate.gov/public/index.cfm?FuseAction=PressRoom.PressReleases&ContentRecord_id=df2ac86b-0858-dd3c-42cf-c1b2225bf7b0]

The 60 day deadline (Nov 2nd: 60 days prior to the law taking effect) is in less than 90 days – 88 days if you do not count that Saturday…and yes, that is 3 days before the Election on Nov 5th.

10% of our workforce is a LOT of people out of work. Couple our workforce reduction with every other DoD Contractor in the Charleston SC Area (I think every major Contractor has an office here) and you have a community crisis on your hands. This, just after the turn of the year…

Merry belated Christmas, South Carolina! Brought to you courtesy of your Friendly [and ONLY] Neighborhood Democratic Congressman [!cough! James Clyburn (D SC-06) !cough!].

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