Employers can modify or terminate severance pay plans whenever they want, and owe only the severance resulting from a triggering that already occurred.
At one time some employers paid departing executives severance pay without any obligation to do so, and sometimes without requiring a release of rights in return.
Taxes on employers fund unemployment compensation benefits and each state administers. For at-will employees, unemployment compensation benefits fill a function similar to severance pay, providing cash when needed most.Once an employer offers a severance pay benefit, federal law treats it as a “welfare benefit plan” under the Employee Retirement Income Security Act of 1974 (ERISA).ERISA is the same law that covers employer group health insurance plans.You’ll find loads of friendly singles ready to get in touch - over 5,000 real conversations happen every day on Dating You can even use our instant messenger for real-time, one-to-one chats. You can take a peek at our irresistible singles by registering for free today.