Terminated Volato Employees File Class Action Lawsuit

The Chamblee, Georgia-based fractional charter jet operator had widespread employee layoffs after entering into an aircraft management services agreement with competitor flyExclusive (NYSE: FLYX) on September 3.

Thursday’s class action was filed by law firm Kwall Barack Nadeau PLLC and attorney Arthur Schofield in the U.S. District Court for the Middle District of Florida. In their complaint, prosecutors state Volato employed approximately 260. At least 233 of these employees were laid off August 30 after receiving an email notifying them of their termination.

The WARN Act mandates employers with over 100 employees provide a 60-day notice in advance of plant closings or mass layoffs. The complaint alleges that because these employees were let go as part of a plant shutdown or mass layoff, they were entitled to receive such written notice.

On its website, Kwall Barack Nadeau states that Volato’s actions have left the terminated employees without the compensation and benefits they were entitled to, creating financial distress for many. The plaintiffs seek to secure compensation for unpaid wages, accrued holiday pay, accrued vacation pay, accrued sick leave pay, and other benefits lost due to Volato’s failure to provide notice.

“This case is about holding Volato accountable for the harm it has caused its employees,” said Ryan Barack, lead counsel for the plaintiffs, in a statement on the law firm's website. “Employers are required by law to provide notice before significant layoffs, and Volato’s failure to comply with the WARN Act has had a devastating impact on its workforce.”

Volato’s poor quarterly financials earlier this summer were reminiscent of issues that faced Jet It, another fractional charter jet operator that failed a year prior due in part to supply chain issues that rocked the industry in 2021 and 2022.

Volato did not immediately respond to FLYING's request for comment.