An employer may use this form to build or reach a severance or termination agreement with an outgoing employee when the employer is either contractually bound to provide severance or it determines that providing severance is in its best interests. Common scenarios in which employers elect to provide severance are when they desire a (mostly) clean break with an outgoing employee, they desire to maintain good relations with the outgoing employee or when the employer desires some protection from the outgoing employee against risks associated with litigation, competition or security.
Use this flowchart to properly choose the appropriate employees to be included in a reduction in force, and to navigate through the requirements of the Worker Adjustment and Retraining Notification (WARN) Act without creating further exposure for the employer.
A severance or termination agreement is a very effective tool for an employer to use to make a mostly clean break with outgoing employees. However, there are important restrictions on the type of consideration employers can ask for as part of severance or termination agreements. This How to will help employers walk through the process of negotiating and drafting such an agreement and can be useful in protecting the company and ensuring the agreement is enforceable in a court of law.
In-depth review of the spectrum of Nebraska employment law requirements HR must follow with respect to mass layoffs, reductions in force and plant closings.
Employers should be aware that any voluntary retirement program must comply with the Older Workers Benefit Protection Act (OWBPA) and the Age Discrimination in Employment Act (ADEA). This How To will help employers to craft a voluntary retirement/attrition program and to comply with the OWBPA and ADEA in the process of doing so.