if a position is being eliminated shouldn't there be a severence offered

Most at-will employees are not entitled to severance. In fact the law doesn't require any companies to provide severance. Some employees are entitled to severance because their contracts build them in. These employees are generally high up and at an executive level.

There are numerous reasons why an employer might want to offer you severance, even though they're not required to. I talk in more detail about this in the article below, but most of the time, companies are offering severance agreements to create a clean breakup.

They require you to release any potential claims (threat of a lawsuit) in exchange for some money. Even where companies know you do not have strong legal claims, they will sometimes offer severance. Additionally, they might offer severance in order to make sure you do not disparage the company.

https://drewlewis.law/practice/agreements/severance-negotiations/

https://drewlewis.law/severance-package-negotiation-how-to-guide/

posted by Drew Lewis  |  Apr 23, 2020 5:10 PM [EST]

Although many companies choose to pay severance to their separate employees, there is no law that obligates them to do so, except in a few limited circumstances, such as mass layoffs or when there is a employee-employer contract providing for severance terms. Otherwise, an employer is free to issue or not issue any severance.

Thanks,

Arkady Itkin

posted by Arkady Itkin  |  May 21, 2019 12:19 AM [EST]