Home > 2012 Elections, Current Federal Legislation, Miscellaneous > No Joke: obama Regime Will Pay Companies To Violate The Law

No Joke: obama Regime Will Pay Companies To Violate The Law

Morning Bell: Obama Administration Will Pay Companies to Violate the Law

Hans von Spakovsky and Amy Payne

October 26, 2012 at 8:08 am


The Obama Administration’s disregard for the law has struck again—and this time, it’s encouraging others to violate the law at taxpayer expense.

That’s worth saying again: The Obama Administration is encouraging people to violate a law, and promising that it will use taxpayer money to cover fines incurred from this action.

The law: The law in question is called the WARN Act, and it requires that federal contractors send employees layoff notices 60 days before a plant closing or mass layoff.

The inconvenience: Massive defense spending cuts under sequestration are scheduled to hit on January 2, 2013. Defense contractors affected by the budget cuts would have to issue notice letters to employees by November 2 (four days before the election) to meet the January 2 start date for the spending cuts.

The penalty taxpayers would pay: Employers who violate the WARN Act are liable to their former employees for “back pay for each day of a violation” and “benefits under an employee benefit plan,” as well as a penalty of $500 for each day that notice has not been sent to the local government where the layoffs will occur.

As an example, Lockheed CEO Bob Stevens has said that 123,000 of his employees would receive layoff notices. If companies fail to meet the WARN Act’s deadline, lawsuits from employees could result—but the White House has provided a taxpayer-funded guarantee as a way to counter their fears of enormous litigation costs. This guarantee is not only unprecedented but also potentially unlawful……(Con’t)


CONTINUE READING: http://blog.heritage.org/2012/10/26/morning-bell-obama-administration-will-pay-companies-to-violate-the-law/

  1. October 28, 2012 at 12:47

    this is another bait, cast by none other than Obama the weasel in chief. this is one of those things that are supposed to slip along under the radar. i think congress should pass a law that he cannot give another executive order, and block what it will do to the american people. the projected unemployment rate should be brought to the american people, along with the slimy way this toad is trying to win the election. the killing of four Americans may not make it in time to seal the deal for Romney.

  2. X-Beast
    October 28, 2012 at 13:47

    Here’s another thing to consider. Let’s say the Obots pay for the defense of a defense contractor in court and that defense contractor is found guilty. Do ‘we the people’ also pay the fine? What if there is jail time involved in the sentence, is Obama going to offer up a surrogate to do the time?

  3. October 31, 2012 at 11:10

    Being shielded from this notice requirement no doubt provides comfort to defense contractors who, according to the law, would otherwise have to issue the notice letters by November 2 (four days before the election) in order to meet the January 2 start date for the spending cuts. Many of the defense contractor employees who would receive WARN notices are located in Virginia, a key battleground state.

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