Severance to a part time employee who was once full time

My company recently got bought out by another company and we are all receiving severance. My situation is a little unique compared to my co-workers. I have been with the company for 16 years, 12 of them full time, the last 4 years part time working from home averaging 10 hours a week. They determined my part time salary by taking my annual salary and dividing it by what i make an hour. We are receiving 2 weeks for every year there. They want to pay me for the 16 years but at 10 hours a week. I feel i should be paid for 12 years at a full time rate of 35 hours a week and then for 4 years at the 10 hours a week. They say that is not how it works and that a severance is paid off your current week of pay. I feel this is unfair but don't know if I have a leg to stand on. Please let me know what you think.

1 answer  |  asked Mar 16, 2005 10:50 PM [EST]  |  applies to New York

Answers (1)

David M. Lira
A Right to Severance

Generally speaking, you don't have a right to any severance. (However, you would be entitled to payment of accrued leave, that is accrued vacation pay.)

When there are massive lay-off, such as after a merger, the employer might, but does not have to, offer severance to the terminated employees. (Sometimes, the offer of severance is part of the merger deal.) If the employer offers severance, then that decision might create certain rights in your favor, under a federal law called ERISA.

When the employer offers severance on a mass basis, it will do this according to a written plan. This written plan is what will determine your rights to severance.

Get a copy of that plan.

posted by David M. Lira  |  Mar 17, 2005 08:55 AM [EST]

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