Finding severance pay
In the United Kingdom, many employers and businesses are finding severance pay attractive as a part of their employee benefits package. With unemployment on the rise, companies and businesses may have more difficulty finding qualified talent to replace their current employees. This is one of the reasons why severance pay has become such an attractive part of the overall package. Often times, severance pay will be given as a final benefit in a company exit deal. This means that the employee is not being cut and certainly not paid for the time spent interviewing or training other potential employees.
However, not all employers understand all the laws that surround severance pay and how they can benefit from it. Before agreeing to any severance pay agreement, you should consult with a severance pay lawyer to ensure that you are making the right decision. This is especially important when it comes to deciding whether the employer is within their rights to cut a worker loose after a certain amount of time. A qualified lawyer will know the exact language used in UK employment law and will be able to give you guidance on your rights and the limitations that accompany severance pay.
When it comes to severance pay, there are two different types that are available to an employee – statutory or negotiated. Each has their own set of circumstances and entitlements. For example, most employees will receive some sort of benefit based upon their years of service with the company. But this is not always the case and some employers will offer a lump sum severance pay for the entire life of an employee.
Finding severance pay – Things To Know Before Going Into A Severance Pay Negotiation
Statutory severance pay is designed to last only a specified amount of time and employers are not required to explain why the severance pay has been stopped. While this type of payment may make the employer happy, it does not give the employee any legal rights. If the employer has offered you a statutory severance pay and you have agreed to accept it without knowing all the facts then you may find yourself at an employment tribunal later on.
In order to get the most out of your severance pay, it’s a good idea if you can go through the employment agreement and check what it states regarding the payment. Check whether you are entitled to this amount or if the payouts are only for a limited period. If you were put under immediate pressure because the company needs more staff immediately, it is important to know if you are legally obliged to accept the offer or not. Usually it’s an employment law requirement that the employee must agree with the amount of pay before the contract is terminated.
There are several different ways that an employee can choose to go about going about a severance pay negotiation. You may be contacted by your employer to help negotiate for more severance pay as part of a company benefit plan. If you feel you should be paid the whole amount or at least a part of it, you should seek legal advice. If you are lucky enough to work for an employer who is ready to pay you the entire amount, don’t expect to get much more than 50% of your original salary. But if the employer was forced to give you this amount, the best way is to take up a case to seek damages against them.