Legal Question in Employment Law in California

Sale of Company-benefit changes

My company has been sold to a foreign firm. The new company has no pension plan and decreased medical coverage. Employees who were severed received a severance package. Those of us who were offered jobs with the new company received no severance. If I don't accept the job with decreased benefits, am I due the severance package given the severed employees?


Asked on 12/03/99, 9:50 pm

1 Answer from Attorneys

Roger Renfro Renfro & Associates Law Corporation

Re: Sale of Company-benefit changes

This response assumes you live in California and work for a California employer. Your question seems to indicate your existing employment position was unaffected by the acquisition (the new employer has extended an offer of employment to you). Since your job is not being eliminated, you probably do not qualify for the same type of severance benefits the coworkers whose jobs were being eliminated are eligible to receive. Having stated that, it does not necessarily mean you are not entitled to some type of a severance benefit if you elect not to accept employment with the purchaser. You should contact your HR department immediately to discuss what options or other severance benefits are available to you if you choose not to go to work for the new employer. If you do not get a satisfactory answer, you probably should consult with a local employment lawyer to determine what rights, if any, you may be able to assert against your existing employer.

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Answered on 12/06/99, 5:26 pm


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