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Flexsteel’s Covid-19 Closures Drive Severance, Layoff Lawsuit

March 3, 2021, 8:24 PM

Iowa-based furniture maker Flexsteel Industries Inc. was sued in federal court by six former employees who say the company laid off hundreds of workers during the Covid-19 pandemic without paying them severance benefits or complying with WARN Act requirements.

The proposed class action, filed Tuesday in the U.S. District Court for the Northern District of Iowa, challenges Flexsteel’s April 2020 closure of facilities in Dubuque, Iowa, and Starkville, Miss., that together employed about 370 people. Flexsteel permanently closed these facilities and laid off all associated workers, but it failed to provide the termination notices required by the Worker Adjustment and...

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