I've been reading up and it turns out companies are not obligated to provide severance to employees they're laying off. I was certain there was a law that said they have to but it turns out I was wrong. Now I'm worried more than ever. What are the chances that we're about to be cut without even getting severance?
9 replies (most recent on top)
I was laid off 3 years ago as a maintenance mechanic at Aurora and received almost 12 K
"Since Follett was bought out, the new owner doesn't have to give severance."
No company is required to offer severance. follett, in fact, didn't always offer severance. Their longest tenured, loyal employees were stiffed. More than 15 years of experience earned anger, contempt and abuse. Even a request for 1 week's pay for every 2 years in service was met with a terse, cold, untruthful response by follett's legal team. Many employees with more than 15 years of service were treated this way.
follett's previous ownership were a collection of shameful people.
When my time came it was one weeks pay for every year worked. Unfortunately it ran out before I found another job.
Since Follett was bought out, the new owner doesn't have to give severance.
Severance is never guaranteed unless you have payment stipulated in an employment agreement or contract. New owners sometimes use this as a way to thin the ranks quickly but there is no way to know if you are included in the severance eligible group.
Why would you be paid severance buy the new owners? They don't owe you anything.
Do not stay in a job counting on severance pay. You're keeping yourself from moving forward so you can receive a few weeks pay. It is neither guaranteed nor required so you may not even receive it.
The only exception is if you are retiring after this job.
follett failed to pay severance to the long tenured staff they abused out of the company. You no longer work for" follett", however.
A company is not required to pay severance. What follett had paid, in the past (to people who had contributed fewer than 15 years of service, to the company) was not spectacular. it was computed on 2 year periods of service. I may have been 1 week for every 2 years. 10 years service would be 5 weeks' severance.
Yes, the last out usually get the least.
Company I worked for for MANY years started off rif at 1 week paid for year of service. Then it was 1 weeK paid per year of services UP TO 8 WEEKS (ouch). The last rif'ed got nothing. - don't let the door hit you in the b-m on the way out.
Truly there is ZERO guarantee at all!
More of a gamble by the new management that enough people stay thinking they won't get screwed to keep the place running and all the talent won't bolt at once.
Had a top sales person (top 1% nation wide) stick around - thinking he was going to get a big promotion with the new corporation only to get rif'ed - sorry, don't need you but your contacts are now ours!
TRUST NO ONE - LOOK OUT FOR YOURSELF!
As long as companies can provide it they usually do, however it sometimes dwindles down over the years... from 2weeks per year of service, to 1, then eventually nothing.
If you're hanging out anywhere in the hopes of some giant payoff... it probably isn't worth it. Yeah, you may get it. But there is ZERO guarantee at all. Is it really life-changing money? Is it really worth it to stick around in a job you hate, hoping you might get it some day?