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Leading New York Employment Law Attorneys Help Workers Understand Their Rights to Severance Pay After Layoff

What you need to know about severance pay

In any economy, whether boom or bust, employee layoffs remain omnipresent. Whether due to shifting market trends, shareholder upheaval, or underperforming products, many companies have chosen to cut labor costs and it has become increasingly common for loyal, longtime employees of a company to find themselves being offered a severance package—and wondering if that is their best option under the circumstances. At the law offices of Hepworth, Gershbaum & Roth, PLLC, our dedicated team of New York employment law attorneys help you understand the terms and possible legal ramifications of a severance package offered and protect your rights.

What happens if I accept—or do not accept—a severance offer?

Employers do not offer laid-off workers a severance package out of any moral imperative. Instead, offers of money and/or certain benefits for departing employers are proffered in exchange for certain promises by the employee, which may include:

·        A promise to not sue the employer over the termination, such as any allegation of discrimination.

·        A confidentiality agreement, including an agreement not to reveal the terms of the severance package itself, as well as any confidential company information.

·        A non-disparagement agreement

Laid-off workers often find themselves in the position of having only a limited amount of time to review and accept a severance package. This deadline, combined with the impending financial stress caused by a layoff, may cause you to waive important rights and to accept an unfavorable severance package without seeking outside counsel on the offer.

Skilled New York employment law attorneys can help

What is important for New York workers to understand is that a recent change in state law now bars laid-off workers from receiving unemployment benefits if they are receiving severance pay exceeding the state’s maximum unemployment benefit of $405/week. However, an employee negotiating an agreed term which actually delays the start of severance pay can still apply for, and collect, full unemployment benefits.

Our knowledgeable New York employment law attorneys assist you in negotiating such terms, and help you reach a more favorable agreement under existing law. In addition, we look at the circumstances of your termination and determine whether a cause of action might arise from your termination. While New York is considered an at-will state, it remains illegal for an employer to terminate a worker on the basis of race, religion, sexual orientation, and other protected factors. Laws protecting “whistleblowers” can also be used to assist workers who believe that they have been laid off for reporting illegal activity to their superiors or to law enforcement. Our attorneys determine whether or not you have a cause of action.

Contact an experienced New York employment law attorney before signing any severance agreement

At the Manhattan law offices of Hepworth, Gershbaum & Roth, PLLC, our knowledgeable New York employment law attorneys are ready to review your severance offer today. We have more than 70 years of combined experience helping clients earn the severance package than can best assist them. Contact us online or call us today at 212-545-1199 for a free initial consultation.




Contact an employment law attorney in New York today for a free initial consultation and determine whether you have a case. For a free initial consultation, you can contact us online or by phone.

CALL US TODAY! 212-545-1199