Negotiating Severance at the End of Employment

Best Employment Attorney Blog


In today’s very mobile economy, most employees work for several employers during their careers.  As one job ends, often employers are open to paying a severance to the departing employee.  The primary reason an employer will offer severance is to thank the departing employee for his or her dedicated service to the business.  In some of those cases, the severance package will be offered at the beginning of employment.  Those types of severance packages may be individual agreements or part of a company written policy.  In other cases, the employer has neither a written nor an unwritten policy but is still willing to offer severance.

Another reason employers offer severance is to buy peace.  Every employer who gives severance will require the employee to sign a release.  In other words, in exchange for the severance money, the employee signs away his or her rights to sue for violations of the…

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