While employers are not obligated to offer a severance payment to a terminated or laid-off employee, there are various situations in which employers do. A severance payment is generally offered with various conditions for the employee. Most importantly, a severance agreement will more often than not contain a waiver of any legal claims that the employee may have against his/her employer. The agreement may also waive your right to ever work for that particular employer in the future. It is very important to carefully review all of the language contained in a severance agreement because it may affect your legal rights.
Before You Sign
If you have been provided with a severance agreement by your current or former employer, it is wise to have an experienced employment law attorney review the severance agreement on your behalf. An attorney can advise you about the potential ramifications of the agreement, and may be able to negotiate a higher severance payment. It is very important to speak to an attorney before you sign the agreement.
