Legal Question in Employment Law in Massachusetts
Lay Off Packages/Severance
Hello - my question relates to severance packages. My company has gone thru several rounds of layoffs and has
offered 2 wks per year of sevice for severance. Can
they in the future change this to 1 week or less? Has
an expectation and policy now been created for
2 weeks per year of service to be given when laid off?
I have worked for my company for 19 yrs and i have heard rumors that come Jan 1st they are limiting severance
to up to 10 wks (and capping it there) can they do this
when i would have been given 36 weeks if i was laid off
before this new policy?
Thank You
Sheila
1 Answer from Attorneys
Re: Lay Off Packages/Severance
It depends. If severance policy is in writing and part of your company's general benefit program it is subject to ERISA and cannot be changed without notice. If not, and severance is at discretion of employer based on its own terms, then it may be changed without notivce. No law requires severance.