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Bill > HB403
MO HB403
Provides for mandatory severance for employees terminated in certain layoffs
summary
Introduced
01/08/2025
01/08/2025
In Committee
05/15/2025
05/15/2025
Crossed Over
Passed
Dead
05/16/2025
05/16/2025
Introduced Session
2025 Regular Session
Bill Summary
Provides for mandatory severance for employees terminated in certain layoffs
AI Summary
This bill establishes mandatory severance pay requirements for employers conducting mass layoffs, transfers of operations, or terminations of operations in Missouri. Specifically, employers with 100 or more employees must provide at least 90 days' notice before a layoff and offer severance pay equal to one week of pay for each full year of employment. If an employer fails to provide the required notification period, they must provide employees with an additional four weeks of pay. The severance rate will be calculated using the employee's average regular compensation from their last three years of employment or their final regular rate of compensation, whichever is higher. The bill defines key terms like "mass layoff" (50 or more employees terminated within 30 days), "establishment" (a workplace operated for more than three years), and "termination of employment" (layoff without commitment to reinstate within six months). Notably, the bill requires that any waiver of severance rights must be approved by the Missouri Department of Labor and Industrial Relations or a court, and it provides the department authority to create implementing regulations. The goal appears to be protecting workers by ensuring financial support and advance notice during significant workforce reductions.
Sponsors (1)
Last Action
Referred: Emerging Issues(H) (on 05/15/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
Document Type | Source Location |
---|---|
State Bill Page | https://house.mo.gov/Bill.aspx?bill=HB403&year=2025&code=R |
Analysis - Summary: Introduced | https://documents.house.mo.gov/billtracking/bills251/sumpdf/HB0403I.pdf |
BillText | https://documents.house.mo.gov/billtracking/bills251/hlrbillspdf/1424H.01I.pdf |
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