Retention agreement - what happens if I do not sign?
I have been verbally told my position is being eliminated and sent to another facility (out of the state). I was also verbally told that I will receive 60-days notice of my end date, what the severance plan is and the amount I will receive, and that I'll get a bonus for staying until the end. Now, without being given the actually notice, I am being asked to sign a document stating that I turned down moving (which I did) and that I agree to stay with the company through the transition, but the transition time is unspecified (it could be before, on or after a certain date). I refused to sign because of the vagueness of the letter (no specific time frame, does not state what the actual severance will be in writing) and have now received a follow-up letter stating that I need to sign to insure my benefits (pay et al) will continue to be paid should I stay.
My question(s) are: What are my legal rights to continue to state I don't want to sign until I get my official 60-day notice?
Can I be fired or my benefits of employment cut if I don't sign this pre-letter (my employment is at will)?
Also, can I be held liable for signing and agreeing to stay for the unspecified time, but then resigning before?
Answers (1)
Q: What are my legal rights to continue to state I don't want to sign until I get my official 60-day notice?
A: You are probably an at-will employee, meaning you do not have any rights until you negotiate a contract. You are objecting (properly so) to a contract proposal that is vague and open ended. The consequence of refusing to sign accept this proposal is that the company may withdraw it and you would not receive any benefit other than the pay for the work that you perform.
Q: Can I be fired or my benefits of employment cut if I don't sign this pre-letter (my employment is at will)?
Yes.
Q: Also, can I be held liable for signing and agreeing to stay for the unspecified time, but then resigning before?
A: This is more troublesome, but the answer is probably not. If you cannot tell how long your retention obligation runs, the company can hardly expect to go to court to enforce a particular date.
I suggest that you approach this as a contract negotiation. Explain your objection and make a counter-offer, rather than simply rejecting the offer. Include a specific end date for getting the retention benefits and spell out the amount of the benefits and when they will be paid. If you cannot reach agreement, you are free to go and they are free to end your employment.
If you need more help or want to hire us to assist with a specific counter-offer and contract review, call me.
Regards,
Neil Klingshirn
Fortney & Klingshirn
posted by Neil Klingshirn | Feb 20, 2001 4:27 PM [EST]
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