I have a doubt, where I work at we have chaned from one company to another and now another name, they are supposedly going to cease operations this year, and my doubt is if they were supposed to pay us severance from the ther company we used to be, because people at work rumor about that! is there a lay that obligates them to pay us severance? they said one in a all employee meeting that they aren't obligated to do so, that that is if they want to!
2007-01-20 22:47:09 · 5 answers · asked by Anonymous in Politics & Government ➔ Law & Ethics
correct. In America there is no mandatory severance.
2007-01-20 22:50:38 · answer #1 · answered by Anonymous · 0⤊ 0⤋
I have seen this with many company's. they change banks, health coverage, even merge and integrate. retirements, coverages, benefits can all take big changes, without your say. that the good thing about 401k's you make your own retirement program. Lawfully I dont believe your allowed to take away agreements/benefits and programs. If you have signatures and legal contracts with a company. they have to hold up to there side of the agreement, but I'm not completely sure, and I'm no lawyer, but i have read the fine print a few times. hopefully a lawyer can confirm this
2007-01-21 07:02:42 · answer #2 · answered by Jonas V 3 · 0⤊ 0⤋
Severance is at the option of the employer. If their rules dictate severance pay, then most likely they will pay. They can however change that policy anytime they want since it is their policy and not a government policy.
2007-01-21 06:52:09 · answer #3 · answered by meathead 5 · 0⤊ 0⤋
Most companies do, but they are not obligated to.
2007-01-21 06:50:57 · answer #4 · answered by Anonymous · 0⤊ 0⤋
And people say you don't need unions. . .
2007-01-21 06:52:03 · answer #5 · answered by towanda 7 · 0⤊ 0⤋