Termination Package (Severance Package) Review for Employees
Many employees come to our firm for consultation on their termination package (also known as a severance package). Clients have come to appreciate our discretion, sensitivity and high quality, practical advice.
First and foremost, in a termination package review at Dutton Employment Law, an employment lawyer will meet with a client to review the terms and conditions of the termination package offered to them by their employer.
- A termination package is an offer from the employer to the employee to sign a release in exchange for termination pay.
- A release is a contract promising never to sue.
After listening to all the facts and reviewing all of the client’s relevant documents, the second thing an employment lawyer will do in a termination package review is advise what that client is entitled to in regard to termination pay (i.e. pay in lieu of notice). Thereafter, the lawyer and the client will compare what the client should have been paid versus what the employer offered him or her.
Next, the employment lawyer will advise whether it is worth the client’s time and effort in proceeding against their employer, with a view to risk versus reward. Sometimes, an employee is given a fair termination package, and there is no sense in moving forward.
More often than not, however, if the lawyer and the client determine that the offer made to the employee was unreasonable, and the client wants to demand more money, the employee’s lawyer writes the employer a demand letter asking for additional funds plus the money the client spent hiring the lawyer, and any other reasonable demands the client has.
Next, a representative of the employer responds to the demand letter. This is usually done by an HR professional, an employment lawyer or a manager, in the case of a small company. Most often, the employer responds to the offer with a counter-offer that was higher than its original offer. This process could go back and forth a number of times depending on the parties’ appetite for negotiation.
Thereafter, if negotiation is unsuccessful, the employee’s lawyer usually files a “wrongful dismissal” lawsuit asking for what should have been paid in the first place, plus legal fees. In this regard, most wrongful dismissal claims are settled at mediation well before a trial. In fact, 93% of all lawsuits settle before trial.
Dutton Employment Law is a termination / severance package review law firm.
If your employer has let you go, and you want a professional to review the terms of your termination / severance package, contact a Toronto termination package lawyer today.