Reference no: EM132880984

Tom, the regional manager of a chain of barbecue restaurants, just explained to Travis that the restaurant Travis had managed for three years would be closed in eight weeks.

"You've done a great job, Travis," said Tom. "And when our new store opens in Crossville, you can manage it. Bigger store, more money-but you must keep this unit operating well until the end of the month when our lease ends."

Travis was troubled after the meeting with Tom because he knew his employees were the major reason his boss was so pleased. They were a great team, but the Crossville store was 100 miles away. Travis also knew if he told his current employees about the restaurant's closing, they would immediately start looking for and find other jobs. Then he would have problems keeping the store open in the final weeks.

Case Study Questions

1. Assume Travis's restaurant is too small to be covered by the Worker Adjustment and Retraining Notification Act (WARN). Does he have a legal obligation to inform his employees of the impending restaurant closing?

2. Consider the following statement: "An action can be legal but still not be ethical." Do you agree? Does it apply in this case? Why or why not?

3. Assume that you are Travis, and you know the restaurant is large enough to be covered by WARN. Assume also that your boss instructs you not to announce the closing to your employees. What would you do?