Typically, employers are not obligated to offer severance benefits unless there’s a prior commitment, outlined in a written policy or employment agreement. In most cases, severance pay agreements fall within the discretionary realm of the company, often presented in exchange for a comprehensive release of all claims. Now, let’s
Severance agreements
Mass layoffs: What must your employer do?
By Jairo N. Castellanos on
Summary:
With Layoffs on the rise, it has put a palpable amount of pressure on workers around the country. Turning a season of cheer into one of stress and uncertainty. There are many laws that are in play that govern how an employer must go about …
A severance agreement that does not mention of overtime claims, hours, or wage amounts, does not compute alleged overtime hours worked to which the release applies, and does not refer to any dispute about overtime wages is not an enforceable release of FLSA rights.
By Jon Harsley on
Posted in FLSA violations, Severance agreements
“When evaluating whether settlements purporting to waive or release claims pursuant to the FLSA may be enforced, courts look to evidence in the records before them to see whether the settlements resolved ‘bona fide disputes’ regarding the number of allegedly unpaid hours or compensation due at the time that payment was received. By contrast, here,…