SPRINGFIELD, Ill. (WCIA) — Congresswoman Nikki Budzinski (D-IL) issued a letter Friday to Akorn Pharmaceuticals CEO Douglas Boothe demanding answers on why the company violated the WARN Act.
The company had a manufacturing facility in Decatur. Over 400 workers were laid off from the facility last week with little warning.
Illinois’ WARN Act requires 60 days’ notice to state and local officials before large companies close a plant or lay off workers. Both state and local officials told WCIA they had no notice.
The Illinois Department of Labor is also investigating the company for violating the act. Several workers have also filed a class-action lawsuit against the company.
Here’s the full letter:
Dear Mr. Boothe,
I am writing to express my deep concern about the recent and unexpected closure and layoffs at the Akorn Pharmaceuticals (Akorn) facility in Decatur, Illinois. I’m outraged by the unforeseen announcement that Akorn has closed their plant without advanced warning to employees. This sudden closure has left over 400 employees without a job, no severance package, and only a handful of days of health insurance coverage. These workers and their families, including single mothers with small children, were left with no time to prepare for their next steps. Akorn knew for over a year that it was operating at a loss and that bankruptcy was a possibility, yet it did not have an appropriate and reasonable plan in place to let go of its employees with the crucial resources they needed.
The Illinois state WARN law requires that employers with 75 or more full-time employees provide 60 days advance notice of a pending plant closure or mass layoffs. Akorn violated WARN law and must answer for it.
Due to the nature of this unjust warning to employees and rapid closure of the facility, I am requesting answers to the following:
- With the knowledge that bankruptcy was a possibility, why did Akorn not provide an advanced notice to employees about layoffs?
- What resources is Akorn planning to actively provide former employees who now have no jobs, access to health insurance, or retirement benefits?
I request that you provide a written response to this letter by April 1, 2023.
Sincerely,
Nikki Budzinski
Member of Congress
Nikki Budzinski’s letter to former Akorn CEO Douglas Boothe
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via WCIA.com https://www.wcia.com
March 3, 2023 at 01:23PM