Why would a big business act small?

I work for a small business. why do i not have the same rights as employees covered by the WARN act?

  • Answer:

    I don't know the factual reason behind this so I am only offering my opinion here. For small business, the costs and methods of doing business can be quite different to a large company of 100 or more employees. Several laws don't apply because they would be cost prohibitive to a small company and no small businesses would ever get off the ground. In terms of layoffs, I know from my own small business that there is little way we would know 60 days in advance of layoffs. For example, we don't have access to large sums of capital or credit lines that a large company has. So if a sudden drop in business occurred, we couldn't cover payroll for that 60 day time period, whereas companies with high rolling credit lines would be able to make it through a rough patch more easily, or at least until they knew whether or not that had a lay off situation on their hands.

brandyn at Yahoo! Answers Visit the source

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I don't know the factual reason behind this so I am only offering my opinion here. For small business, the costs and methods of doing business can be quite different to a large company of 100 or more employees. Several laws don't apply because they would be cost prohibitive to a small company and no small businesses would ever get off the ground. In terms of layoffs, I know from my own small business that there is little way we would know 60 days in advance of layoffs. For example, we don't have access to large sums of capital or credit lines that a large company has. So if a sudden drop in business occurred, we couldn't cover payroll for that 60 day time period, whereas companies with high rolling credit lines would be able to make it through a rough patch more easily, or at least until they knew whether or not that had a lay off situation on their hands.

Danielle F

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