On Friday October 30, Fresh & Easy LLC filed for Chapter 11 bankruptcy and began laying off its employees. The Company had only given employees between nine to 22 days' written notice before the layoffs began. California law requires 60 days written notice before layoffs of this size.
Three lead senior managers have now launched a putative class action in California state court, alleging that the bankrupt grocery store chain violated the state labor laws requiring greater advance notice before beginning layoffs. Two of the managers were let go on October 30,
and one is set to be terminated on November 13. The lead plaintiffs seek to represent a class of workers terminated between October 30 and November 13 who received insufficient notice of the mass layoffs. The suit seeks compensatory and punitive damages, court costs and other relief. As part of its request for remedies, the employees are seeking an accounting from Fresh & Easy LLC to determine any back pay and benefits owed.
With grocery stores throughout California, Nevada and Arizona, and the Company's stated intention to wind down business, the number of layoffs and related lawsuits is likely to grow as the days pass.
For more information on California state labor laws, contact Ford & Diulio PC's employment attorneys by emailing jdiulio@FordDiulio.com or calling 714-384-5540.