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Representing Employees and Employers During Severance Agreement Negotiations

Termination of employment through severance can be a stressful matter for everyone involved. Employees feel frightened, pressured by deadlines and unsure of their rights. Employers can make decisions without considering the long-term legal implications. Sterling Employment Law has extensive expertise in addressing severance cases involving many of the largest companies in Michigan and around the country.

From employees and high-level executives to major corporations, we provide the exceptional legal advice and representation clients seek in employment issues. For help with a severance agreement, call 248-633-8916 for a confidential consultation with our seasoned employment law attorneys.

Severance Assistance for Employees

For many, severance agreements are presented during a very emotional time. People are forced to make a quick, critical life decision without many available facts about what has happened or what lies ahead. For long-term employees, it can be an earth-shattering event like a divorce, except an employer requires them to sign a severance agreement impacting their whole future – with only a week or two to consider the ramifications.

Attorney Raymond J. Sterling understands that employees are bewildered and under considerable pressure to decide whether accepting severance is in their own and their family’s best interests both today and in the future. Even when they sign, many don’t understand what has happened or may sense something has gone wrong. It is important to discuss your options with our attorneys. Here are just a few examples of the issues and problems that we can help address:

  • If a severance agreement offers a certain number of weeks or months of salary and you sign it, you risk losing the right to sue later on grounds of discrimination.
  • An employer may be offering 20 weeks of severance hoping you sign because it knows it may be liable for much more.
  • How badly do you need the money? If you live paycheck to paycheck, taking the severance may be wiser.
  • We can help you negotiate or renegotiate an agreement with terms that are more favorable.
  • Severance agreements often contain provisions that prohibit you from reapplying with the same company; we can help relieve you from this overbearing restriction.
  • We can advise you on the tax ramifications of your severance agreement.
  • A severance package may include provisions dealing with releases from liability and indemnification. We can help to make sure you are protected from liability.
  • Severance packages may also have provisions requiring you to return all of the money if you discuss the severance package with others. We can negotiate to remove these types of onerous confidentiality provisions.
  • We can also negotiate to have your attorney fees reallocated and paid by your employer.

These are just a few of the issues you may encounter with severance agreements. We can help you decide whether signing a severance agreement, attempting to negotiate a better deal or pursuing a lawsuit is in your best interests. Together, we will gather what information we can in the limited time available, review the risks and options, and make a strategic decision about how to proceed. We have a strong reputation as successful litigators. Consequently, employers are often more willing to settle cases with us quickly rather than risk going to court.

Severance Agreements for Employers

Employers often ask us: What is my exposure?

For employers, a severance action can be a question of “pay now or pay later.” Often, companies mistakenly proceed with termination of an employee and pay severance without thinking about the possible long-term implications – until they end up facing a lawsuit. A brief consultation with a knowledgeable employment attorney, one who can help complete terminations correctly, while using proper severance agreements, can help limit your legal exposure. Attorney Raymond J. Sterling offers clients the employment law experience necessary to properly review severance packages to avoid potential litigation.

Contact Our Attorneys for Help With Severance Package Negotiation

From our Michigan offices, we handle severance matters for employers and employees nationwide. Contact us online or call 248-633-8916 to schedule a confidential consultation.