Anyone know about severance packages?

[wartrace]

I am out of my job in May. We have been given one weeks pay for each years service, I haven't spoken to the H.R. people yet. I am wondering if this severance package will relieve the company of their pension obligation. It is not being called a "buy out", just a severance package. I have 18 years of service so there is a small amount of money I should recieve monthly at the age of 65.

[texastoast]

1. It's going to depend on the basis upon which you were hired

And the terms of any pension plan. Can you get access to a copy of your plan?

[ogneopasno]

2. They're usually separate, but it depends on terms of hiring. You'll want to check with HR.

[leftynyc]

3. I worked for a division of VF Corp

for 12 years. When I got let go (7 years ago), I got the severance and was told to always let the corporation know if I was moving because I was still entitled to the pension. It may have something to do with years of service but check with HR - they'll let you know.

[Swede]

4. You have to ask for "termination" benefits, not "serverence"benfits.

You should have vested money in the package,that you can move to any finacial or insurance company of your choice.

[wartrace]

5. I guess I will have to wait to talk to HR.

I was just informed Tuesday and I am doing some "planning".

[Sherman A1]

9. That would be your best bet

get all the information together as fast as possible to see just exactly what it is that you have coming and as a very wise man once told me.



Take EVERYTHING they give you (and a little more if you can get it).

Good Luck!

[SmileyRose]

6. Ask for the particulars IN WRITING.

If the company is big enough to have a defined pension program then they already have this in writing. You just need a copy. Do it soon, you may be able to negotiate before you leave for a better package.

[pinto]

7. Great point.

[TimesSquareCowboy]

8. A severance agreement typically does not relieve the company of their pension obligations.