Monday, October 1, 2012

Playing Poltiics By Not Issuing Defense Contractor Layoff Notices

Obama Administration Tells Contractors Facing Sequestration to Not Warn Employees About Potential Layoffs -- Forbes

The Obama Administration issued a memorandum (White House link) late Friday, instructing Federal contractors that they should not provide WARN Act notice to employees facing sequestration. The WARN Act is designed to protect “workers, their families, and communities by requiring most employers with 100 or more employees to provide notification 60 calendar days in advance of plant closings and mass layoffs.” This White House directive follows a July 30, 2012 guidance letter from Jane Oates an Assistant Secretary at the Department of Labor, who concluded that no notice was necessary, specifically stating “As long as the likelihood and timing of contract cancellations remains speculative, an employer is not obligated to provide WARN notifications.”

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More News On Defense Contractors Being Told To NOT Issue Lay-Off Notices To Their Employees Because Of Sequestration

Feds: Taxpayers would cover layoff costs under sequester -- Politico
White House aims to suppress contractor layoff notices -- Defense News
Administration tells defense contractors to ignore federal law on sequestration layoffs, promises taxpayers will cover their legal bills -- Human Events
White House promises funds for contractor legal costs -- Examiner
Administration again urges contractors not to warn of layoffs, despite defense cuts -- FOX News
Sen. Graham: Obama move on defense layoff notices 'patently illegal' -- The Hill
Lockheed will not issue layoff notices to employees -- Washington Post
Lockheed Says It Won’t Issue Layoff Notices on Budget Cuts -- Bloomberg Businessweek
After White House assurances, Lockheed won't send out layoff notices -- Washington Times
Did Lockheed Martin Just Win Virginia for Obama? -- John Hudson, The Atlantic

My Comment: Everyone has accepted the premise that sequestration is going to kick in, and that tens thousands of people are going to be laid off. But .... who wants to send out this bad news (which they have to by law) before the election. But to have the US government telling contractors like Lockheed to not issue these lay-off notices .... and that the government will pay for any legal expenses (which will of course occur) from any and all legal challenges that will be issued when sequestration does occur .... is just one more example where the US taxpayer is being screwed again.

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