What happened?

On October 1, 2025, California Governor Gavin Newsom signed Senate Bill 617 (SB 617) into law, enhancing the required notice provisions for employers conducting mass layoffs, relocations, or terminations.

Overview:

SB 617 updates California’s Worker Adjustment and Retraining Act (Cal-WARN), aligning it more closely with federal WARN Act standards while introducing additional state-specific protections.

Summary of Provision:

• Employers must provide at least 60 days’ written notice before a mass layoff, relocation, or termination affecting 50 or more employees.

• Applies to employers with 75 or more employees, including part-time workers.

• Employers must coordinate with local workforce development boards to offer retraining and job placement assistance.

• Employers failing to provide notice may face back pay and benefits for affected employees, plus civil penalties.

Updates for Employers

• Review layoff and closure procedures to ensure compliance with new notice requirements.

• Establish partnerships with local workforce development boards for retraining programs.

• Update employee communication templates to reflect new statutory language.
  
  

Source References

• California SB 617- California Worker Adjustment and Retraining Act

Resources

• California DIR – Cal-WARN Act
• California EDD – for Employer Guidance on Layoffs and Retraining
• California EDD – Work Sharing Information for Employers FAQs

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