Obama, playing chicken with military layoffs, may see the issuance of one million pink slips just before we decide his fate as president for a second term.

<<< There is question as to the application of the law,  but employers may have to serve notice to those who loose their jobs if sequestration kicks in on January 2. Nearly one million notices might be sent out 4 days before the November elections  --  a disaster for Obama.  

Obama and the Democrats have decided to play “chicken” with raising taxes on the rich only,  versus massive cuts to the military complex,  $500 billion on top of the $400 billion in cuts from the military over the past two years.  Thinking they had the GOP “over a barrel,”  the Dems and Obama have refused to negotiate  . . . . .  that is  until sometime yesterday.

As it turns out,  the cuts to the military will demand huge layoffs.  There are regulations under the WARN Act  that require 60 day notice prior to these layoffs  - one for each military personnel whose job will be terminated.  That means pinks slips would be required no later than November 2, four days before the November elections.  There could be as many as one million notices sent out immediately before the election.

In panic,  the Administration,  Monday (July 30),  sent out a memo stating that pink slip notification was not required by law  in a desparate effort to prevent this massive notification process.  Problem:  it appears that if notice is not given and layoffs occur, those suddenly without work can file against their employers.  The collective cost of this lawsuit would be prohibitive. 

Senator James Inhofe, of Oklahoma,  has charged that the Administration is using intimidation tactics to keep employers from issuing these notices, telling them that this particular issue of job termination is not included in the WARN Act directives. 

Time will tell which side is believed.  If the employers do not wish to open themselves to any number of lawsuits,  “pink” will be the color of the day.  If Obama and his minions convince employers that notification is not needed,  Obama escapes a devastating moment just before the 6^th.  


Update: it appears to this editor that Obama is on the wrong side of the issue.  In an article written earlier this month,  we have this quote regarding the problem: 

Welcome to the politics of the WARN act. A sequestration delay had been growing in popularity to free up more time to find a comprehensive solution to the problem (including broader tax reform) and now to avoid the inconvenient timing of WARN act notifications.  The Republican position is now simple: either find a one year “fix” to the 2013 sequestration cuts — preferably soon, but in lame duck session if necessary — or else sequestration goes into effect January 2. . . .  Source: an  American Enterprise Institute article found here. 

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Source:  go to CNS News for the full story.

Guidelines for application of the WARN Act can be found here.