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What is your RIF actually exposing you to?

WARN violations, defective releases, and adverse-impact claims from a single reduction in force can exceed seven figures in legal exposure. Enter your scenario below to see the numbers.

WARN ActADEA / OWBPATitle VIIState final-pay penalties
3,691WARN notices filed in the US in 2025
60 daysback pay per employee for a missed filing
$540k–$4.5Mclass action settlements, 2024–25

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Your scenario

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Employees affected
75
10500
Average annual salary (blended)
Fully-loaded comp is calculated automatically at 1.3× salary
$85k
$40k$250k

Age & severance

Employees aged 40 or older
Determines ADEA / OWBPA scope — each person 40+ needs individual disclosures and a conforming release
40%
0%100%
Severance weeks per employee
Used to calculate OWBPA defective-release exposure — money spent that buys no protection if the release is void
8 wks
0 wks26 wks

WARN Act

Days of WARN notice given
The shortfall from 60 days is the exposure window. Drag to 0 to see full statutory exposure.
14 days
0 days60 days (full)

Exposure at risk

$1.8M

Total statutory exposure before mitigation, across WARN, age discrimination, severance releases, and final-pay penalties

Illustrative estimate. Not legal advice.

WARN is driving 82% of your exposure. Adding even 15 days of advance notice would cut that number by 33%.
WARN Act back pay$1.5M
ADEA / age discrimination$233k
OWBPA defective release$58.8k
State final-pay penalties$24.5k
WARNADEAOWBPAFinal pay

Exposure mitigated with People Plan

$1.5M

Risk eliminated through automated WARN notices, four-fifths screening, conforming OWBPA releases, and 50-state final-pay rules

WARN
90%$1.3M
ADEA / impact
55%$128k
OWBPA release
90%$53.0k
Final pay
90%$22.1k

Residual exposure remaining

$260k

ROI on Growth plan ($45.0k/yr)

34× ROI

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Methodology

How these estimates are calculated

WARN Act
90% mitigated

Back pay + burdened benefits for each affected employee, up to 60 days of notice shortfall. Formula: N × (salary × 1.3 ÷ 260) × max(0, 60 − notice_days). The largest single exposure driver at scale.

ADEA / age discrimination
55% mitigated

Individual filings: 5% of 40+ employees × $75k blended settlement. Class claim: 8% baseline probability × $1.5M — raised to 15% when multi-state with short notice.

OWBPA defective release
90% mitigated

15% of severance paid to 40+ employees is at risk of producing no legal protection — consideration period errors, revocation window mistakes, or missing ADEA disclosure exhibits void the release entirely.

State final-pay penalties
90% mitigated

10% late-pay rate × 10 penalty days × daily wage per affected employee. California waiting-time penalties alone can run 30 days. Multi-state increases the penalty-day assumption.

Illustrative exposure model based on statutory penalties and published settlement ranges. Coefficients represent industry baselines; adjust for your risk profile. Not legal advice.

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