How is it calculated... say like you leave in the middle of the year, do you get half of your expected year end bonus had you stayed?... plus any unused vacation or sick pay?
2007-03-24 05:57:14 · 3 answers · asked by Anonymous in Business & Finance ➔ Careers & Employment
Severance pay is differernt than pay that is due to you if you quit. Severance implies that your position was eliminated due to a layoff, plant closing, or other action that adversely impacted you. Severance pay is based solely on the company's policy - some firms offer it, some don't, most use a seniority-based calculation, most times the employee must sign a release of claims (you won't sue them) in order to receive the money.
If you quit (or are fired), you should receive any vacation/paid time off you have accrued to date as well as any pay for work performed through the termiantion date. You may be eligible for a portion of the bonus - every bonus plan is structured differently and has different rules about when you must be on payroll in order to have "earned" the bonus or a portion thereof. You'd have to check this with your HR person or by reading the terms and conditions of your company's plan.
2007-03-24 06:13:52 · answer #1 · answered by Mel 6 · 2⤊ 0⤋
Not all companies offer severance packages. It depends on where you work, how long you've been there, and if you qualify to receive it based on your termination reason. You should be able to find your company's policy that outlines the severance plan. If you are getting laid-off, someone in HR or your manager will tell you more about it if you are supposed to receive something.
2007-03-24 06:07:05 · answer #2 · answered by Beck 1 · 2⤊ 0⤋
It all depends on the company - some firms have elaborate severance pay plans, but most businesses in America just give you your last check and send you on your way.
2007-03-24 06:00:44 · answer #3 · answered by Anonymous · 2⤊ 0⤋