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HomeMy Public PortalAbout010-1985- STRICKEN-PROVIDING FOR NOTIFICATIONS BY CERTAIN EMPLOYERS IN THE CITTY TO CLOSE OR RELOCATE OPERATIONSORDINANCE NO.10-1985 AN ORDINANCE PROVIDING FOR NOTIFICATION BY CERTAIN EMPLOYERS IN THE CITY OF RICHMOND OF INTENT TO CLOSE OR RELOCATE OPERATIONS WHEREAS, There currently exists in certain areas of the City of Richmond a critical condition of unemployment; and WHEREAS, Economic insecurity due to unemployment is a serious menace to the health, safety and general welfare of those unemployed and the people of the City of Richmond; and WHEREAS, There currently exists a significant rate of migration of industrial. commercial and business enterprises from the City of Richmond to other parts of the country and to other countries, and this migration aggravates the condition of unemployment and destablilizes the economic base of the City of Richmond; and WHEREAS, Arbitrary closings and relocations of industrial, commercial and business enterprises result in serious social and economic harm to employees and the local community which usual programs of unemployment compensation and financial assistance can never fully repair; and WHEREAS, The social and economic harm caused by the closing or relocation of industrial, commercial and business enterprises are aggravated by the lack of adequate advance notice of the decisions to close or relocate operations and that such lack of notice prevents employees and communities from seeking alternatives to, or otherwise preparing for, the closing or relocation; NOW THEREFORE BE IT ORDAINED by the Common Council of the City of Richmond, Indiana, that The Richmond City Code is amended as follows to add a new Chapter 120 to provide for notification by certain employers in the City of Richmond of intent to close or relocate operations: SECTION 1. NOTIFICATION OF INTENTION TO CLOSE OR RELOCATE OPERATIONS I. CLOSING. The permanent shutting down of operations at any establishment for any reason other than the employer has filed for bankruptcy in accordance with Federal bankruptcy laws or as the result of an involuntary closing as defined in Section 1(4). 2. EMPLOYER. Any person, corporation or other entity which employs or has employed at any time in the preceding twelve (12) month period at least fifty individuals and has operated an industrial, commercial or business enterprise in the City of Richmond for more than six (6) months prior to the proposed date of closing or relocation, but does not include the State of Indiana, the City of Richmond or non—profit corporations. 3. ESTABLISHMENT. Any factory, plant, office, facility, or other working place of an employer, but does not include a construction site, or other work place intended as a temporary work place. 4. INVOLUNTARY CLOSING. (a) Any closing pursuant to a court order, or (b) Any closing caused by fire, flood, or natural disaster, a national emergency, act of war, civil disorder, or industrial sabotage. 5. (4) RELOCATION. The transfer of all or substantially all of an employer's operation from one establishment to another existing or proposed establishment owned or operated by the employer or parent corporation or subsidiaries thereof, located outside the City of Richmond unless such relocation is to an establishment within reasonable commuting distance from the first establishment. SECTION 2. NOTIFICATION REQUIREMENTS 1. Whenever an employer within the City of Richmond makes a decision to close or relocate the operations of an establishment of that employer, the employer shall notify in writing the Director of Economic Growth and Development of the City of Richmond, the employees of the affected establishment, and any employee organization which represents the employees of the affected establishment, of such intent to close or relocate not less than sixty days prior to the date of such closing or relocation. 2. The written notice required by subsection (1) shall include the following: (a) The nature of the establishment affected by the closing or relocation of operations. (b) The reasons for the proposed closing or relocation. (c) An impact statement which shall include information concerning the: (.1) Employer's payroll. (.2) Number of employees to be affected by the proposed action. (.3) Wages and other remunerations paid to those employees. (.4) The employers efforts, if any, to find suitable employment for affected employees. (.5) Amount of local tax revenue that will be lost as a result of the proposed action. (d) The proposed date of closing for relocation. (e) The employer's intentions, if any, to continue production at a new location. (f) Any plans the employer might have to sell the establishment, including a statement as to whether the employees have been given first right of refusal to buy and operate the establishment. SECTION 3. EXCLUSIONS 1. This Ordinance does not apply to: (a) An involuntary closing of an establishment; (b) An employer who has filed for bankruptcy in accordance with Federal Bankruptcy laws; and (c) The discharge of employees due to strikes and lockouts. SECTION 4. This ordinance shall be effective one hundred twenty (120) days after final passage. PASSED AND ADOPTED by the Common Council of the City of Richmond, Indiana, this day of , 1985. President of Common Council ATTEST: City Clerk PRESENTED by me to the Mayor of the City of Richmond, Indiana, this day of 1984. City Clerk APPROVED by me, Frank H. Walterman, Mayor of the City of Richmond, Indiana, this _day of ,1985. ATTEST: City Clerk Mayor