Legal Question in Employment Law in Pennsylvania

I have a question about severance pay. Recently, my company (Oracle/HP) said they'd be closing the doors here at the US branch of the company and no employee would remain here any later than December 2010. As such, once layoffs were to begin, severance packages were going to be paid out. However, my fellow employees and I have been looking for employment elsewhere in the meantime. I've found a new job and I'm ready to resign here, but I am told that I am not eligible for a voluntary layoff severance package. Do I have any ground to stand on in order to get that pay out since we've been told the severance package was going to be paid?


Asked on 9/02/10, 12:33 pm

1 Answer from Attorneys

Terence Sean McGraw Warren & McGraw, LLC

No. A general statement that severance packages would be paid is not enough to create an enforceable right to the package. Review your employee handbook for severance policies as well any new policy that may be issued for terms and conditiions of entitlement. Severance, although often based upon years of service to determine the amount, is generally considered to be a benefit to assist a severed employee during a temporary, prospective period of unemployment. By locating the new work quickly, you may have disqualified yourself from any severance benefit. On the other hand, you've done yourself a great favor.

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Answered on 9/08/10, 6:24 am


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