Fisker Automotive is facing a federal lawsuit over not giving its workers adequate notice about last week’s mass layoff. The plug-in hybrid automaker laid off 160 of 210 employees at the company’s headquarters in Anaheim, California. Fisker failed to notify employees 60 days in advance, as well as severance packages.
Fisker is also being accused of violating the federal U.S. Worker Adjustment and Retraining Notification Act (WARN Act) and California’s WARN act. Automotive News interviewed former employees, where the disgruntled employees claimed to have received no severance pay or other compensations, except for unused vacation time.
The lawsuit was filed by Outten & Golden LLP on behalf of Sven Etzelsberger, former Fisker employee. This suit also calls out the automaker for violating California labor laws when it failed to notify the state’s Employment Developmet Department, local workforce investment board, and top elected officials in both Anaheim and Orange County of the mass layoff.
Employees may be entitled to an unspecified amount of damages, with Fisker subject to a $500 civil penalty for each day it is in violation of the law. The automaker has not comment on the suit, according to communications firm Sitrick and Co. The WARN law offers exceptions for a “faltering company” as well as “unforeseeable business circumstances,” but Fisker has yet to prove these conditions.
Source: Automotive News