Title 29LaborRelease 119-73

§2104 Administration and enforcement of requirements

Title 29 › Chapter CHAPTER 23— - WORKER ADJUSTMENT AND RETRAINING NOTIFICATION › § 2104

Last updated Apr 6, 2026|Official source

Summary

If an employer orders a plant closing or mass layoff without giving the required notice, the employer must pay each affected worker back pay for each day the notice was late. The pay must be at least the higher of the worker’s average regular rate over the last 3 years or the worker’s final regular rate. The employer also must cover benefits the worker would have had, including medical costs. The employer’s liability is lowered by any wages already paid, any voluntary unconditional payments, and any payments the employer made for the worker’s benefits (like insurance premiums or pension contributions). If the violation affects a unit of local government, the employer can also face a civil penalty of up to $500 per day, unless the employer pays what it owes each affected worker within 3 weeks after ordering the shutdown or layoff. A court may reduce amounts if the employer shows it acted in good faith and reasonably believed it was not breaking the law. An affected worker, a workers’ representative, or an aggrieved local government can sue in federal district court where the violation happened or where the employer does business. The court may award attorney’s fees to the winning side. An “aggrieved employee” means a worker who didn’t get timely notice as required. These rules are the only remedies under this law, and a federal court cannot order a plant closing or mass layoff to stop.

Full Legal Text

Title 29, §2104

Labor — Source: USLM XML via OLRC

(a)(1)Any employer who orders a plant closing or mass layoff in violation of section 2102 of this title shall be liable to each aggrieved employee who suffers an employment loss as a result of such closing or layoff for—
(A)back pay for each day of violation at a rate of compensation not less than the higher of—
(i)the average regular rate received by such employee during the last 3 years of the employee’s employment; or
(ii)the final regular rate received by such employee; and
(B)benefits under an employee benefit plan described in section 1002(3) of this title, including the cost of medical expenses incurred during the employment loss which would have been covered under an employee benefit plan if the employment loss had not occurred.
(2)The amount for which an employer is liable under paragraph (1) shall be reduced by—
(A)any wages paid by the employer to the employee for the period of the violation;
(B)any voluntary and unconditional payment by the employer to the employee that is not required by any legal obligation; and
(C)any payment by the employer to a third party or trustee (such as premiums for health benefits or payments to a defined contribution pension plan) on behalf of and attributable to the employee for the period of the violation.
(3)Any employer who violates the provisions of section 2102 of this title with respect to a unit of local government shall be subject to a civil penalty of not more than $500 for each day of such violation, except that such penalty shall not apply if the employer pays to each aggrieved employee the amount for which the employer is liable to that employee within 3 weeks from the date the employer orders the shutdown or layoff.
(4)If an employer which has violated this chapter proves to the satisfaction of the court that the act or omission that violated this chapter was in good faith and that the employer had reasonable grounds for believing that the act or omission was not a violation of this chapter the court may, in its discretion, reduce the amount of the liability or penalty provided for in this section.
(5)A person seeking to enforce such liability, including a representative of employees or a unit of local government aggrieved under paragraph (1) or (3), may sue either for such person or for other persons similarly situated, or both, in any district court of the United States for any district in which the violation is alleged to have occurred, or in which the employer transacts business.
(6)In any such suit, the court, in its discretion, may allow the prevailing party a reasonable attorney’s fee as part of the costs.
(7)For purposes of this subsection, the term,11 So in original. The comma probably should not appear. “aggrieved employee” means an employee who has worked for the employer ordering the plant closing or mass layoff and who, as a result of the failure by the employer to comply with section 2102 of this title, did not receive timely notice either directly or through his or her representative as required by section 2102 of this title.
(b)The remedies provided for in this section shall be the exclusive remedies for any violation of this chapter. Under this chapter, a Federal court shall not have authority to enjoin a plant closing or mass layoff.

Legislative History

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Effective Date

Section effective 6 months after Aug. 4, 1988, see section 11 of Pub. L. 100–379, set out as a note under section 2101 of this title.

Reference

Citations & Metadata

Citation

29 U.S.C. § 2104

Title 29Labor

Last Updated

Apr 6, 2026

Release point: 119-73