Former Borders President Mike Edwards is being sued by some ex-employees. In the lawsuit filed by about 300 ex-employees, they claim that they were given little or no notice they were about to lose their jobs. The leader of the group, Jared Pinsker, said that under the Worker Adjustment and Retraining Notification Act, Borders should have given their employees 60 days’ notice before the company made a massive layoff. The provision of the Act applies to a company that lays off a third or more of its workers, like Borders did when they went bankrupt.
On July 18, the day Borders closed its doors, reports indicated that Edwards was still trying to find a buyer for the company. But just hours later, he was announcing its closure. It appears the claim of the ex-employees was not without basis.
This legal development is the latest in the story of Borders, who just a few days ago apparently took another company, Next Jump to court for “trade-secret misappropriation and trademark infringement.”
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