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What should I look for in a severance agreement?

Even when a San Diego employee knows that they are at the end of their tenure at their present job, getting let go is still an emotionally difficult experience for a variety of reasons. In addition to having to go through the embarrassment of being unemployed, a worker will also likely be doing some fast thinking to figure out how they will support themselves and their families.

Given this, it is no wonder that many employees do not think much about whether or not they should sign a severance agreement when their soon-to-be former employer offers one to them. They may even see such an agreement as a lifeline that will give them a little bit of extra money to get by while they look for another job.

An employee who can stay calm and thoughtful during this sort of scenario does well when he or she exams the severance agreement carefully, as there are certain items an agreement should include.

For instance, a severance agreement should include, in detail, exactly what the employer is going to pay to the terminated employee and by when they plan to pay it. In this respect, it is important to remember that severance pay is not the same as one’s last paycheck.

Severance pay should be something extra an employer gives an employee in exchange for an employee’s waiver of important rights; it shouldn’t just be what the employee has already earned.

While there are things an employee can look for if surprised with a severance package, the best option is usually to have an experienced California employment law attorney review the contract and help the employee make an informed decision about whether or not to sign it.


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