Legal Question in Employment Law in California

Severence Pay vs. Pay In Lieu of Notice

I was informed on 8/4/06 that I was being laid off that day. The owners would give my regular pay, my vacation, and two week's severence pay. There's a Severence Agreement that employees usually sign, but the owners forgot about getting my signature and issued a live check that day for those three items (regular, vacation, and severence pay).

In reading the Employee Handbook, it specifically states that in times of layoffs, the company will provide two weeks' notice. If they're unable to, they will give two weeks' pay in lieu of the notice. This in-lieu-of-notice pay was not included in my final pay as the owners are obviously not aware of what's written in their own Employee Handbook.

Do I have a case in going after this additional pay? I'm been under the assumption that Severence Pay and In-Lieu-of-Notice Pay are two different things. Am I correct in that assumption?

Thank you for your help. I truly appreciate it.


Asked on 8/08/06, 5:30 pm

1 Answer from Attorneys
Michael Kirschbaum Law Offices of Michael R. Kirschbaum

Re: Severence Pay vs. Pay In Lieu of Notice

If I understand your facts correctly, you were paid 2 weeks severance, without having to sign a release, but now are asking if you can get another 2 weeks pay, in lieu of notice of the 2 weeks?

The law does not require any employer to pay severance or pay in lieu of notice. This is merely a benefit an employer may wish to provide. When they do so, they may place conditions on it.

You already knew that a condition for the severance pay was to sign the severance agreement, but they forgot, and you accepted the check anyway. Do you really think a court of law will be sympathetic to you and grant you 2 more weeks in lieu of notice?

My opinion: I think not.

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Answered on 8/15/06, 4:33 pm


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