Severance: What You Need to Know
By Senior Counsel Anthony Cacace and Partner Robert Projansky
In this benefits law edition of The Proskauer Brief, we discuss how severance can impact your financial future.
As an employee, you may be entitled to severance pay if you are laid off or terminated from your job. Severance pay is a lump sum payment that is typically equal to one or two weeks of pay for each year of service. This is a way for the company to compensate you for the loss of your job and to help you transition to a new one.
There are a number of factors that can affect your eligibility for severance pay, including your length of service, your job performance, and the reason for your termination. In some cases, you may be eligible for severance pay even if you are not fired for cause.
If you are offered severance pay, it is important to carefully review the terms of the agreement before you sign it. This will ensure that you understand your rights and responsibilities.
Comments