Rights under an employee agreement.

On October 12, 2001, I was terminated after nearly seven years of service from my management position at a medium-sized special machine builder in nearby Michigan. Approximately two years earlier I had signed a "Management Employee Agreement" which, among other things, provides for a 4-month termination notice by either party. I have been told that, essentially, I am expected to be at work every day, with reasonable performance, and my salary will continue. The company can dismiss me at any time with salary continuance if they can't keep me busy. Or, if I should find employment during this period, my salary will stop. Obviously, spending 9 - 10 hours a day in the office is cutting into my job seeking efforts. My questions are as follows: Am I obligated to stay at work for this period in order to have my salary continue? Is this type of agreement different than a severance package? Can they halt my salary at any time I find employment?

1 answer  |  asked Nov 13, 2001 12:35 PM [EST]  |  applies to Indiana

Answers (1)

Brenda Franklin Rodeheffer
Rights under employee agreement

If your employer and you are in Michigan, I don't know the answer. Michigan law applies.
In Indiana what the employer is doing would be legal.

posted by Brenda Franklin Rodeheffer  |  Nov 14, 2001 1:39 PM [EST]

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