tag:blogger.com,1999:blog-33004692.post3299128313738804080..comments2023-10-31T12:58:36.729+01:00Comments on Evil HR Lady: Why Severance?Suzanne Lucashttp://www.blogger.com/profile/07129772885673695447noreply@blogger.comBlogger13125tag:blogger.com,1999:blog-33004692.post-57904738333568866752007-06-05T18:32:00.000+02:002007-06-05T18:32:00.000+02:00the last 4 people in my position received a severa...the last 4 people in my position received a severance of 3 weeks for every year to retire early. now, after carring the work load alone for 5 years, the company is terminating me with less than 1 week for every year. Is their any entitlemant here due to past practice? It's the only case I have after all the research I've done. mikeAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-21950650507469134952007-04-19T05:01:00.000+02:002007-04-19T05:01:00.000+02:00Severance packages are in most organizations a CYA...Severance packages are in most organizations a CYA activity; however, there still are some firms that do provide the help on the way out for more reasons than legal posturing.<BR/><BR/>Release agreements are increasingly coming under legal challenge, depending on how they are crafted.<BR/><BR/>And....like anything, they are negotiable, which most people do not realize.<BR/><BR/>robert edward cenek, RODP<BR/>www.cenekreport.com<BR/>Uncommon Commentary on the World of WorkAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-51486948028115891372007-04-16T20:36:00.000+02:002007-04-16T20:36:00.000+02:00"How is this lucky? Being paid for your last week ..."How is this lucky? Being paid for your last week or two of work isn't a privilege, it's a right by law. "<BR/><BR/>Not if they go out of business. <BR/><BR/>It is only in the last 10 years that the work environment is so favorable companies rarely go out of business.<BR/><BR/>It used to happen a lot. Even with very well known companies.she said:https://www.blogger.com/profile/15003430767746896739noreply@blogger.comtag:blogger.com,1999:blog-33004692.post-16716645971593444792007-04-16T17:48:00.000+02:002007-04-16T17:48:00.000+02:00Having reread my comment on this subject, I see wh...Having reread my comment on this subject, I see where it might have come across as, er.......a little cynical (what can I say; I've worked in HR, primarily labor relations, for 30 years). In fact, there are many good applications for severance pay, as several commentors have aptly pointed out. I was a little too focused on what I see as the misuse of these packages. It particularly galls me to see highly placed people get paid large amounts to leave when they should just have just been shown the door because of incompetence, poor judgement, or bad behavior. This is highly visible to every other employee and adds to the above referenced cynicism.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-4720902079504000482007-04-16T12:35:00.000+02:002007-04-16T12:35:00.000+02:00I think it makes sense especially in cases where e...I think it makes sense especially in cases where employees are fired for reasons beyond their control - like M&As which make certain positions redundantAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-83643447192381016042007-04-16T03:14:00.000+02:002007-04-16T03:14:00.000+02:00Evil HR Lady, would you mind if I asked you how yo...Evil HR Lady, would you mind if I asked you how you feel arbitration provisions affect severance packages? It seems to me that most companies have some sort of mandatory arbitration clauses that employees have to sign. <BR/><BR/>How do you think that impacts the worry that departing employees will sue if not given a golden parachute?Unknownhttps://www.blogger.com/profile/05792978522205356192noreply@blogger.comtag:blogger.com,1999:blog-33004692.post-6641267086464460562007-04-16T03:11:00.000+02:002007-04-16T03:11:00.000+02:00Once upon a time you were lucky to just get a last...<B>Once upon a time you were lucky to just get a last paycheck. </B><BR/><BR/>How is this lucky? Being paid for your last week or two of work isn't a privilege, it's a right by law.Unknownhttps://www.blogger.com/profile/05792978522205356192noreply@blogger.comtag:blogger.com,1999:blog-33004692.post-85282453925932722872007-04-15T19:37:00.000+02:002007-04-15T19:37:00.000+02:00With severance packages there is also the case of ...With severance packages there is also the case of the merger or acquisition. I know one young man whose company was bought by a larger company in his industry. His area (IT) was marked for "eliminate duplication." The acquiring company went through the IT staff, offering some the option to work as independent contractors and others severance packages. Help was also made available for finding new jobs. At the end of the day in this particular situation, the IT staff generally feel like they were treated fairly and humanely. In the long run, I don't see how that can be anything but good.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-50997732915604793942007-04-14T13:20:00.000+02:002007-04-14T13:20:00.000+02:00There is definitely good will involved as well. I...There is definitely good will involved as well. I do tend to focus on the negative side of things, but there is "niceness" involved as well.<BR/><BR/>Managers and HR hate laying people off. We really, truly do. We like to be nice.Evil HR Ladyhttps://www.blogger.com/profile/14506069540151526951noreply@blogger.comtag:blogger.com,1999:blog-33004692.post-52889975573054656712007-04-13T21:10:00.000+02:002007-04-13T21:10:00.000+02:00I think pension plans have largely been replaced w...I think pension plans have largely been replaced with stock options and 401k's. <BR/><BR/>I know from the first year I started working till the time I swung out of corporate America - the amount of companies offering them rose quite dramatically.<BR/><BR/>Also - I wont be popular with this - but I find it a little ridiculous that people expect a severance package. <BR/><BR/>Once upon a time you were lucky to just get a last paycheck. <BR/><BR/>Any company providing one is going above and beyond, no matter what the motive. They don't have to. <BR/><BR/>I don't know what is worse. A company that has to fire people for making too much money - or a workforce who is so sue-happy, they force companies into this practice.<BR/><BR/>And basically - the consumer for which none of these people would even get a paycheck - gets screwed.she said:https://www.blogger.com/profile/15003430767746896739noreply@blogger.comtag:blogger.com,1999:blog-33004692.post-49869099504179028552007-04-13T19:49:00.000+02:002007-04-13T19:49:00.000+02:00Thank you, Evil One, for answering my questions. ...Thank you, Evil One, for answering my questions. I know a number of people who are sticking it out in hopes of a severance package. No, I am not one of them! I will have to look into whether my company offers a pension plan though. At the rate I'm going, I may be here for life.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-29561453119579394302007-04-13T17:06:00.000+02:002007-04-13T17:06:00.000+02:00MIke, you about covered anything I was going to sa...MIke, you about covered anything I was going to say. My one or two word thought on why companies offer severance is for "good will." That was why I did it the one time we had an across the company downsize.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-33004692.post-477776435954244372007-04-13T15:41:00.000+02:002007-04-13T15:41:00.000+02:00Severence packages were, at one time, largely moti...Severence packages were, at one time, largely motivated by feelings of compassion and wanting to "do the right thing" to help laid off employees during the period that they'd be looking for another job. These severence pay plans were modest, based mostly on years of service (1 or 2 weeks' pay per year of service), and pretty much the same for all levels. Some companies had them, and some didn't. Not so in recent history. Severence packages today are largely an exercise in, for lack of a better word, cowardice. They are a CYA action used, as the Evil HR Lady says, so employees won't sue; in other words to prevent companies from actually having to defend their decisions. If you are doing things right (selecting people to cut based on defensible criteria) you shouldn't be afraid of lawsuits. But if you are lazy, in a hurry, don't trust your judgement, or just plain afraid, the severence package is your friend. I have seen people, some of them at the executive level, who were totally incompetent or whose behavior was such that discharge was the proper action, (and everyone knew it) get big severence packages to get them out the door with minimal fuss. This creates a lot of cynicism on the part of competent, "good" employees. Be a screw-up and you can leave with up to a year's pay and a good reference! The lawyers give this advice to Management and they listen, but they really like it because it's easy. In reality, if you do things right the chances of losing an unfair discharge suit is very small, and the costs much less in the long run. There are very limited circumstances where paying someone to leave might be the right answer, but they're few and far between. Today, getting "a package" when you leave a job has become such an expectation in many companies and industries that people hang around waiting to be offered one. Often times they aren't real productive while they wait. This may only enhance their chances of getting one. <BR/><BR/>Just one old HR person's opinion.<BR/><BR/>Mike DoughtyAnonymousnoreply@blogger.com