Fremont Lawmaker Calls On Solyndra To Compensate Employees

FREMONT (KCBS) – Congressman Pete Stark of Fremont is calling on executives of Solyndra to compensate its laid-off employees with two months of pay and benefits or face the possibility of a court battle.

The Fremont-based solar manufacturer abruptly shut down this week, costing 1,100 full and part time employees their jobs. A spokesman for the company said they were negotiating possible financing until the very last minute and didn't anticipate the outcome of having to shut down like this.

KCBS' Anna Duckworth Reports:

But Stark said the Worker Adjustment and Retraining Notification Act, also known as WARN, requires advance notice of a large layoff or shutdown.

"They were planning on going bankrupt and that's not something you decide overnight," said Stark. "Evidently, the workers knew nothing about this until they showed up and the doors were locked."

WARN does include exceptions, including situations where a company has sought new capital or business to stay open and giving employees notice would ruin that opportunity.

But Stark said that whether or not Solyndra falls into that category would be up to the courts to decide and it's important for the government to weigh in on cases like this.

"I don't want to let politicians off the hook here," said Stark. "We have the responsibility to see that these laws are carried out."

Solyndra said it is unable to compensate its workers.

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