The Impact of Advance Notice of Plant Closings on Earnings and the Probability of Unemployment
- 1 July 1991
- journal article
- research article
- Published by SAGE Publications in ILR Review
- Vol. 44 (4) , 681-691
- https://doi.org/10.1177/001979399104400405
Abstract
The authors analyze data from the 1988 CPS Displaced Workers Survey to assess the effects of written advance notice of plant closings on post-displacement employment and earnings. The results suggest that notification was effective in reducing reemployment earnings losses and the probability of post-displacement unemployment only when it was given at least two months before the plant closing. This finding, the authors conclude, confirms that the 60-day advance notice of plant closings required of large employers by the Worker Adjustment and Retraining Notification Act of 1988 is appropriate.Keywords
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