Signing a severance agreement is not something any employee ever wants to consider, but it is smart to understand the process before it happens. Employees offered a severance agreement do not necessarily need to agree to it and if they do, they should keep a few things in mind.
What Does Signing a Severance Agreement Mean?
By signing a severance agreement, an employee agrees to comply with the terms offered by their employer. This could include pay, benefits, and any additional protections an employer may want to include regarding the reputation of the company.
Employees should read a severance agreement extremely carefully because by signing it, they are agreeing to everything that is written down. If an employee doesn’t agree with any aspect of the agreement, they should discuss it with their employer right away. Signing the agreement while not actually agreeing to everything contained in the agreement, could have negative consequences for the employee in the future.
What Happens After Signing a Severance Agreement?
After a severance agreement is signed by both parties, they are expected to uphold what has been agreed upon. For the employer, that means paying out and delivering the pay or benefits that were promised. For the employee, that usually means not publicly speaking negatively about the company, suing the employer for things that may have occurred during the employment period, and anything else included in the agreement.
While many employees may want to spread negative information about their former employer, it is usually written in a severance agreement that the employee could face legal trouble for doing so.
What Rights Does an Employee Have After Signing a Severance Agreement?
An employee has the rights to anything agreed upon in the severance agreement. The severance agreement is a legally binding document that has to be followed by both the employee and employer. If either party is found to be doing anything that is against the agreement, it could mean a court date in the future.
If you suspect your former employer has violated a severance agreement, you need an experienced employment lawyer on your side. At Pearson Butler, we have helped many workers in their time of need. Call our offices today to see how we can help you.