If you have received an unfair severance agreement, the team at Kesluk, Silverstein, Jacob, & Morrison will work closely with you to ensure that you’re compensated properly and your employer is held accountable.
What Is a Severance Agreement?
A severance agreement is a legally binding contract between an employer and an employee that outlines the terms and conditions of compensation and benefits following the end of employment. Often referred to as a “separation agreement,” it can include various elements such as a lump-sum payment, extended health insurance, unused vacation pay, or other benefits meant to ease the financial strain of losing a job. In exchange, employees may be asked to waive certain rights, agree to confidentiality clauses, or refrain from pursuing legal action against the employer.
In California, employers are generally not obligated by law to offer severance pay, but many do so to protect themselves from potential legal claims. This is why the terms in these agreements can be particularly nuanced. Employers may seek to limit liability for wage disputes or other employment claims by incorporating broad release provisions. For employees, it is crucial to carefully evaluate any severance offer to ensure you are not relinquishing important rights without fair compensation. Consulting with an attorney can help you determine whether the severance terms truly reflect your best interests and whether modifications or negotiations might be necessary.