Complete Labor Law Poster for $24.95
from www.LaborLawCenter.com, includes
State, Federal, & OSHA posting requirements

Announcement

Collapse
No announcement yet.

CA - sale of small business - Notice to employees required?

Collapse
This topic is closed.
X
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • CA - sale of small business - Notice to employees required?

    Issue is whether a small San Francisco grocery ( 30 employees ) is
    required to give notice to it's affected employees if it's neither a
    business closer or a mass layoff.

    The business wants to sell, but anticipates the new owner(s) will
    continue the same business. Is any type of notice to existing
    employees required? Does the answer differ if some workers are
    replaced by new workers under new management? No employment contracts
    or unions involved.

    Thank you



  • #2
    CA - sale of small business - Notice to employees required?

    "Arut Nev" <[email protected]> wrote in message
    news:[email protected]
    Issue is whether a small San Francisco grocery ( 30 employees ) is required to give notice to it's affected employees if it's neither a business closer or a mass layoff. The business wants to sell, but anticipates the new owner(s) will continue the same business. Is any type of notice to existing employees required? Does the answer differ if some workers are replaced by new workers under new management? No employment contracts or unions involved.
    If the business is a corporation or LLC or partnership and the business
    entity is being sold, then no notice is required. The employees will
    continue to be employed by the business entity. If the business is a sole
    proprietorship or the assets of an entity are being sold, then notice is
    required that employment is being terminated. The new owner will probably
    want that notice to be coupled with notice that the new employer will be
    hiring the employees. The only reason you need to give notice of employment
    termination in this situation is that otherwise some of the employees could
    continue to be your employees after the sale. Some employees will be hired
    by the new owners. When they accept, that amounts to quitting your employ.
    But if an employee is not picked up by the new employer, and you have not
    terminated that employee, you could remain on the hook for wages until you
    eventually terminate.

    McGyver


    Comment

    The LaborLawTalk.com forum is intended for informational use only and should not be relied upon and is not a substitute for legal advice. The information contained on LaborLawTalk.com are opinions and suggestions of members and is not a representation of the opinions of LaborLawTalk.com. LaborLawTalk.com does not warrant or vouch for the accuracy, completeness or usefulness of any postings or the qualifications of any person responding. Please consult a legal expert or seek the services of an attorney in your area for more accuracy on your specific situation.
    Working...
    X