Organizations face a myriad of challenges during corporate restructuring relating to sale, purchase, or acquisition. To ensure compliance with applicable state, federal, and local laws, companies involved in such transitions should work closely with employment counsel to complete the due diligence process, which may involve the following activities:

• Analyze the implications regarding a unionized workforce (including recent union organizing activity)
• Consider potential wage and hour issues relating to employee classification
• Review current affirmative action plan (if any) and utilization analysis
• Analyze potential adverse impact on protected groups (race, sex, age, etc.)
• Review and/or modify employee handbooks, personnel policies and procedures, benefits policies, and application forms
• Analyze potential WARN Act implications
• Review and modify employment, non-compete, confidentiality, and/or severance/termination/change-in-control agreements
• Consider potential impact of pending or threatened litigation or administrative claims, as well as disposition of recently resolved matters
• Review and/or prepare documentation identifying all employees currently on leave of absence for any reason other than work-related injury, including anticipated date of return to work
• Analyze status of contract employees and potential for termination upon sale or merger
• Review plan documents for employee health and welfare benefit plans including retirement or pension, group health insurance, disability, and life insurance plans
• Inspect worksites and/or confirm posting requirements are met
• Review recent EEO-1 and OSHA Form 200 reports
• Analyze recent COBRA activity and qualifying events
• Prepare workers’ compensation claim history
• Confirm status of all employees receiving long or short term disability benefits