What Happens If an Employer Doesn’t Offer Severance Pay?
Offer Severance Pay
Severance pay is a lump sum amount that employers offer when employees are terminated. Usually, companies outline their severance policies in the employee handbook or in an employment contract you signed when you first joined the company. However, the terms are open to negotiation. Employers typically offer severance packages for a variety of reasons: in compliance with an employment agreement; to buy goodwill (i.e. help a former employee bridge the gap to their next job); and to protect them from legal claims by the departing worker.
In addition to the lump sum amount of severance pay, some companies may include other perks in a severance package such as life or disability insurance, access to company assets such as laptops and cell phones, and outplacement services to support a former employee in finding new work. Some companies also offer bonus payments that aren’t part of an employee’s base salary, such as a performance-based bonus.
An employer’s decision to not offer severance pay may be illegal, depending on the circumstances. For instance, if your employer cancels or reduces a severance payment after you agree to sign a release of claims and other documents, you could have a legal claim for breach of contract. Similarly, if you were notified of a company’s plan to lay off workers without following the requirements of the Worker Adjustment and Retraining Notification Act, you could have a breach of law claim against the employer.
What Happens If an Employer Doesn’t Offer Severance Pay?
If you believe an employer’s decision to not offer severance is unlawful, reach out to a severance pay lawyer in New York City. Our experienced attorneys can review the terms of any severance package and advise on your best course of action.
Our severance pay lawyer attorneys can advise you on whether a severance package is adequate, if you have a claim for breach of contract or other claims against the company, and what else to ask for to make up for any shortfall in the severance package. Ultimately, we will work to maximize your severance package and help you find a new job that fits with your career goals. For more information, contact us to set up a consultation with one of our attorneys.
During your meeting, you will have the opportunity to discuss all aspects of your case and answer any questions you may have. We will also be able to provide you with a free assessment of your legal case. If you’re ready to discuss your case with our severance pay lawyers, fill out the online form or call our office at (212) 686-5800. We serve clients throughout the greater New York City area, including Manhattan, Brooklyn, Queens and The Bronx. We also represent clients in cases involving wage and hour disputes, discrimination, harassment, unfair termination, and more. We are licensed to practice in the state of New York and all federal courts. Our firm is dedicated to protecting the rights of individuals and businesses alike. Our attorneys speak both English and Spanish, and we can work with clients from any location in the United States.