New laws impacting terminations and reductions

28 September 2023 1 min read

By Janine Guzman and Julian Anglada Pagan

Extended protections in Puerto Rico

In Puerto Rico, Proposed Senate Bill 1277 seeks to include various protections for persons over the age of 60 who are laid off because of economic reasons attributable to their employer. Among the protections provided are:

  • Payment plans and a 180-day moratorium on home mortgage payments;
  • Rent payments; and
  • Electric and water utility payments. 

The 180-day moratorium is applicable to all creditors of home mortgage payments, rent payments, and electric and water utility payments, subject to the agreement of a reasonable payment plan. Reasonableness is determined by the senior citizen’s economic capacity. The protection would last for the entirety of the 180-day term or until the elder person regains the financial capacity they had prior to being laid off, whichever comes first.

Updated regulations in New York

New York’s Department of Labour published updated regulations under the New York State Worker Adjustment and Retraining Notification Act (WARN Act).

The updated regulations address:

  • The treatment of remote employees;
  • Differentiate between temporary and permanent layoffs;
  • Impose new requirements related to WARN notices; and
  • Clarify obligations for transfers as part of the sale of a business.