Employee Rights to Severance Pay
Employees do not have an inherent or automatic right to severance pay upon separation from employment. Nevertheless, you may be entitled to severance pay under certain circumstances.
First of all, if you work under a contract or your employer has an established policy or practice of paying severance, you may be entitled to severance.
Secondly, if you agree to release certain rights, such as the right to sue for wrongful discharge, you are entitled to compensation for your release of those rights.
Finally, under the Federal Plant Closing Act of 1988, you may be entitled to severance, under the law, if your employer fails to give you the required 60 day notice of a plant closing or mass lay-off.
Articles
Click here to view all articles regarding Severance.