You show up to work on a Monday, and your badge does not scan. An HR representative hands you a box and tells you your position has been eliminated. There is no warning, no transition plan, and no explanation beyond “restructuring.” Within an hour, you are standing in a parking lot holding a folder of paperwork you did not have time to read.
This scenario has played out thousands of times across California in the past two years, especially in the tech, entertainment, media, and retail sectors in and around Los Angeles. But many laid-off workers do not realize that California law may entitle them to far more than a handshake and a final paycheck.
The Cal-WARN Act requires most large employers to provide 60 days of advance written notice before conducting mass layoffs. If your employer failed to give you that notice, they may owe you up to 60 days of back pay and benefits. SB 617, which took effect January 1, 2026, added new requirements that strengthen these protections even further.
Here is what you need to know about the Cal-WARN Act and what to do if your employer did not follow the rules.
What Is the Cal-WARN Act and Does It Apply to Your Layoff?
The California Worker Adjustment and Retraining Notification Act, known as the Cal-WARN Act, is a state law that requires employers to give affected employees at least 60 days of advance written notice before conducting certain large-scale employment actions. The Cal-WARN Act is codified under California Labor Code Sections 1400 through 1408 and provides broader protections than the federal WARN Act.
The Cal-WARN Act applies to employers with 75 or more employees (full-time and part-time combined) within the preceding 12 months. It covers three types of events: mass layoffs affecting 50 or more employees within 30 days, relocations of a business or a major portion of a business at least 100 miles from the original location, and full or partial terminations (plant closures) affecting 50 or more employees.
Unlike the federal WARN Act, the Cal-WARN Act counts part-time employees toward the 75-employee threshold. It also requires that notice go directly to each affected employee individually, not just to a union representative or a government agency. The employer must also notify the Employment Development Department (EDD), the local workforce development board, and the chief elected official of the city and county where the layoff occurs.
If your employer has 75 or more workers and laid off 50 or more people without giving you 60 days of written notice, the Cal-WARN Act likely applies to your situation.
What Changed Under SB 617 (Effective January 1, 2026)
SB 617 expanded the Cal-WARN Act by adding new content requirements to the advance notice employers must provide. These changes are designed to make sure laid-off workers know where to find help immediately, rather than scrambling for information after losing their income.
Under the updated Cal-WARN Act, the 60-day notice must now include information about CalFresh food assistance and how to apply. Employers must provide employees with details about the CalFresh program, including eligibility guidelines and application instructions. This may seem like a small addition, but for workers who are about to lose their paycheck, knowing they can access food assistance on day one makes a meaningful difference.
SB 617 also requires employers to include information about workforce development board coordination in the notice. Employers must describe how they plan to work with the local workforce development board to support affected employees through the transition, including access to retraining programs, job placement services, and other workforce development resources.
These new requirements reflect a growing recognition that the Cal-WARN Act notice is not just a legal formality. It is often the first and most important document a laid-off worker receives, and it should point them toward every available resource.
What to Do Immediately After Being Laid Off
If you have been laid off in California, the steps you take in the first few days can significantly affect your financial recovery and your legal options.
Review your layoff notice carefully. Look at the date on the notice and the date of your last day of work. Under the Cal-WARN Act, you are entitled to at least 60 calendar days between receiving written notice and the effective date of your layoff. If you received less than 60 days, or if you received no written notice at all, your employer may owe you compensation for each day of the shortfall.
Check whether the notice includes the required information. Does it mention CalFresh assistance? Does it reference workforce development board coordination? Does it name the EDD and local agencies? If the notice is missing required elements under the updated Cal-WARN Act, that may also support a claim.
Document everything. Save all communications related to your layoff, including emails, text messages, letters, and any verbal conversations you can recall. Note the date you received notice, the date of your last shift, and the names of managers or HR representatives involved.
Do not sign a severance agreement immediately. Many employers present a severance package at the same time as a layoff notice. Severance agreements often include waivers of legal claims, non-disparagement clauses, and release provisions. Before you sign anything, have an employment attorney review the agreement. You may be entitled to significantly more than what the employer is offering, especially if the Cal-WARN Act was violated.
File for unemployment. Apply for unemployment insurance through the California Employment Development Department (EDD) as soon as possible. You can file online at www.edd.ca.gov. Cal-WARN Act back pay does not prevent you from collecting unemployment benefits.
Check your final paycheck. Under California law, employees who are involuntarily terminated must receive their final paycheck, including all accrued vacation, on their last day of work. If your employer failed to pay you immediately, you may be entitled to waiting time penalties of up to 30 days of additional pay.
When Your Employer Violates the Cal-WARN Act
If your employer conducted a mass layoff without providing the required 60-day notice, every affected employee may be entitled to back pay and benefits for each day of the violation, up to 60 days. This means the full daily rate of compensation plus the cost of any employer-provided benefits, including health insurance, for each day that notice was short.
The Cal-WARN Act also imposes civil penalties of up to $500 per day on employers who fail to provide proper notice. These penalties are payable to the affected municipality and are in addition to the back pay owed to employees.
For a company that laid off 200 workers without proper notice, the total liability under the Cal-WARN Act can easily reach millions of dollars. This is why employers sometimes try to disguise mass layoffs as a series of smaller reductions, stagger terminations over multiple months to stay under the 50-employee threshold, or argue that layoffs were caused by “unforeseeable business circumstances” (a narrow exception that courts interpret strictly).
Cal-WARN Act claims are often pursued as class actions on behalf of all affected employees. If you were part of a group layoff, you do not need to pursue your claim alone. An employment attorney can evaluate whether a group claim makes sense for your situation.
If you believe your layoff was motivated by discrimination, retaliation, or another unlawful reason, you may also have a wrongful termination claim in addition to your Cal-WARN Act rights. These claims are separate and can significantly increase your total recovery.
Frequently Asked Questions About the Cal-WARN Act
Does the Cal-WARN Act apply to remote workers?
Yes. If you are employed by a California employer and your work is based in California, you are covered by the Cal-WARN Act regardless of whether you work from home, a satellite office, or a company headquarters. Remote workers count toward both the 75-employee threshold and the 50-employee layoff trigger.
What if I were offered severance? Should I sign?
Not before having it reviewed by an attorney. Severance agreements typically require you to waive legal claims, including Cal-WARN Act claims. If your employer violated the 60-day notice requirement, the amount you are owed under the law may exceed the severance offer. An employment attorney can tell you whether the deal is fair or whether you should negotiate for more.
Can I sue if my employer did not give 60 days’ notice?
Yes. The Cal-WARN Act creates a private right of action for affected employees. You can file a lawsuit individually or as part of a class action. Remedies include back pay and benefits for up to 60 days, plus attorney’s fees. There is no requirement to file an administrative complaint first.
Does the Cal-WARN Act apply to layoffs of fewer than 50 people?
Generally, no. The Cal-WARN Act applies to mass layoffs of 50 or more employees within 30 days. However, if an employer staggers layoffs to avoid the 50-employee threshold, courts may aggregate the layoffs and treat them as a single covered event. If you suspect your employer is manipulating the numbers, consult an attorney.
How long do I have to file a Cal-WARN Act claim?
California courts have generally applied a three-year statute of limitations for Cal-WARN Act claims. However, the sooner you act, the stronger your position, especially if evidence of the layoff timeline needs to be preserved.
Bibiyan Law Group Fights for Laid-Off Workers
Being laid off is stressful enough without wondering whether your employer followed the law. At Bibiyan Law Group, we have recovered more than $400 million in settlements and verdicts for California employees, and we regularly represent workers affected by mass layoffs, plant closures, and Cal-WARN Act violations.
If you were laid off without proper notice or feel your severance offer is unfair, our employment attorneys can review your situation. We also offer free severance agreement reviews for employees who want to understand what they are signing before they give up their rights.
Contact Bibiyan Law Group for a free consultation. No upfront fees. We only get paid when you do.
Disclaimer: This is for informational purposes only and does not constitute legal advice. It does not create an attorney-client relationship. Legal results are not guaranteed and vary by case. Bibiyan Law Group P.C. also operates as Tomorrow Law.