Class Action: Former Education Corporation of America Employees Given No Notice of Mass Layoffs

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Two former Education Corporation of America (ECA) employees have filed suit against the for-profit college chain on behalf of approximately 3,000 workers who were laid off as part of the organization’s mass closure of dozens of schools.

According to the lawsuit, ECA announced on December 5, 2018, that it was “permanently discontinuing its operations” and, on the same day, laid off thousands of employees across the nation. The two named plaintiffs in the case, who respectively worked as admissions representatives at the defendant’s Houston and Las Vegas facilities, claim they were not provided with at least 60 days’ advance written notice of the mass termination in accordance with the Worker Adjustment and Retraining Notification (WARN) Act.

The lawsuit seeks to recover 60 days’ worth of wages and benefits – including salary, commissions, bonuses, vacation pay, and pension and 401(k) contributions – on behalf of aggrieved employees such as the plaintiffs who were terminated without cause as a “reasonably foreseeable consequence” of ECA’s mass school closings.