|
susans
|
 |
« on: August 25, 2008, 07:04:09 pm » |
|
I have been asked to post this question, so here it is: (this poster is US based)
"I've basically been asked to retire - they're unhappy with me - I'm unhappy with them. What would seem to be a fair retirement / compensation package for 25+ years of service?"
Any suggestions on what to ask fo in a package for this person?
|
|
|
|
|
Logged
|
|
|
|
glow8490
Newbie
Posts: 41
|
|
« Reply #1 on: August 25, 2008, 07:25:29 pm » |
|
The company should have a standard retirement policy in place. I have heard lately of many people being terminated, but companies allowing it to be called retirement so the employee can "save face".
If this is actually a termination or lay-off (instead of a retirement), then the norm in my area for fairly large companies has been 1 week severance pay for every year of service, assistance in new job search, and I believe, depending on company size, COBRA (medical insurance) for 18 months, if needed. The company doesn't pay for the medical insurance, you are just allowed to continue it at full cost which is usually a lot more than what you paid through the company while employed. I recently had 2 close friends and a close family member laid-off from their jobs (in 2 different midwest cities) and their pkgs were almost identical. One had been at their job 24 years; one over 25 years, and the other 20 years. A privately-held company I know of actually gave 2 weeks severance pay for every year of service up to 1 year's pay.
Hope this helps.
|
|
|
|
|
Logged
|
|
|
|
|
gee4
|
|
« Reply #2 on: August 25, 2008, 07:54:24 pm » |
|
I agree with Glow, the company in question should have a standard retirement policy. Are you sure this isn't redundancy? Might be an idea to know the age of the individual.
I worked for a company a few years back who were letting go all of their over 50s and giving them a package. Some were only 50 or 55, well below retirement age, so I would suggest this person finds out in writing exactly why they are being offered retirement and what the package entails.
25 years is a long time and it should be an ample retirement package the same as if it were redundancy.
|
|
|
|
|
Logged
|
|
|
|
|
susans
|
|
« Reply #3 on: August 25, 2008, 10:06:10 pm » |
|
Here are some comments from our anonyomous poster:
Is this redundancy - possibly. Basically they feel as though I'm burnt out and truthfully I am. They offered me a chance to drop to part time and train someone to take the load off and/or eventually take my place, but I don't think this is going to solve the issues that I have toward them. Therefore I decided to jump ship so to speak!
Age - pushing 50
|
|
|
|
|
Logged
|
|
|
|
glow8490
Newbie
Posts: 41
|
|
« Reply #4 on: August 25, 2008, 10:31:45 pm » |
|
I should add, in all 3 instances of the people I know who have been terminated, they had to sign separation agreements not to pursue any legal action against the company (regarding age discrimination, etc.) before they were given their severance packages.
|
|
|
|
|
Logged
|
|
|
|
|
peaches2160
|
|
« Reply #5 on: August 26, 2008, 01:12:57 am » |
|
Does the company have a pension plan? If so, have HR run your retirement projections to see what benefits are due you. You may be eligible for a lump sum pay out. This is a pension plan, not 401 K. Some companies still have them, or have grandfathered employees who were there and in the plan when it was dissolved.
If this is a layoff, no company has to give severance. However, most companies provide the standard package, 1 weeks pay for every year of service. COBRA is mandated to be offered if the company is large enough.
Sorry you are in this situation. However, it may be a blessing in disguise if you are that unhappy. Sounds like it may be time to close the door and let another one open.
|
|
|
|
|
Logged
|
|
|
|
|
