Ampla Technologies WARN Act Investigation

Strauss Borrelli PLLC, a leading class action law firm, is investigating Ampla Technologies Inc., which does business as Ampla, regarding its recent mass layoff in New York City, New York. The WARN Act is a federal law that requires certain employers to notify their employees, in writing, at least 60 days before a plant closing or mass layoff takes effect. As a result, we believe Ampla employees may be entitled to sixty days of severance pay and benefits.

WHAT HAPPENED?

On May 15, 2024, Ampla Technologies sent a notice letter to the New York State Department of Labor WARN Unit, stating that they would be conducting a layoff between June 3–17, 2024, at their office location in New York, NY. This layoff involved 24 employees or nearly 39% of the entire workforce at Ampla. The reason for the layoff/closure is stated to be because of economic reasons despite the company securing a “$275 million credit facility from Citi and Waterfall Asset Management to fuel continued expansion”1 in December 2023 and raising a “$285m credit facility with Goldman Sachs and Atalaya Capital Management”2 in September 2023. The federal law, known as, the Worker Adjustment and Retraining Notification (WARN) Act, requires covered employers to provide 60 days’ prior written notice to employees, their representatives, and certain government parties in the event of a mass layoff or plant closing. However, Ampla failed to provide at least 60 days’ notice before laying off 39% of its workforce and therefore potentially violating the WARN Act.

ABOUT AMPLA:

Ampla is a commerce enablement platform built for consumer brand operators. It provides a platform that offers consolidated financial products and vertical market software to help consumer brands operate efficiently.3 As of December 2023, Ampla obtained over $600m in total funding from investors such as Goldman Sachs and Atalaya funding.4

If you or someone you know were laid off by Ampla Technologies Inc.:

We would like to speak with you about your rights and potential legal remedies. Please fill out the form below or contact us at 872.263.1100 or sam@straussborrelli.com.

About the WARN Act

The WARN Act is a federal law passed in 1988 by Congress that requires employers with 100 or more employees to provide a 60-day notice of significant layoffs or plant closings. This notice gives workers and their families time to prepare for job loss, seek new employment, and pursue training or retraining opportunities. The WARN Act aims to reduce the impact of sudden job loss on workers and communities by ensuring they have sufficient time to transition. Generally, employees must receive a WARN Act notice if they are laid off or if their hours are cut by 50% or more in any six-month period because of a plant closing or mass layoff. It is possible that a temporary layoff may still violate the WARN Act if it ends up lasting longer than six months.

Employers who do not follow the WARN Act rules, either by giving notice too late or providing unclear notices, may have to pay employees back pay and benefits for the time they were in violation.

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Chicago, Illinois 60611

Phone: 872.263.1100
Toll Free: 866.748.6220

One Magnificent Mile
980 N Michigan Avenue, Suite 1610
Chicago, Illinois 60611

Phone: 872.263.1100
Toll Free: 866.748.6220

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