Legal Question in Employment Law in California
Severance package pay deal
My sister was recently laid off from her job in California after 14 yrs of service. The company has offered her a severance package which includes a percentage of her regular salary for about 4 months.
But, they have said that in the event that she finds employment during those 4 months while receiving her severance, she is to notify them to have the remaining severance monies stopped. Is this legal ? I believe that all the severance money should be hers whether she finds a job right away or not. She has been given a dead line date to sign the severance package deal otherwise, they will not give her any money at all. Thanks for all yor help.
1 Answer from Attorneys
Re: Severance package pay deal
Severance agreements are discretionary in nature and are not required under CA law. The employer is not required to offer your sister anything after termination. Therefore, what the ex-employer is offering is not illegal. However, the ex-employer appears to be trying to provide a smooth transition for your sister so that she can find another job. Your sister always has the option of negotiating the severance agreement with her employer if she isn�t happy with the terms.
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