Must an employee be given a severance package if they are laid off?

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Must an employee be given a severance package if they are laid off?

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Asked on April 9, 2017 under Employment Labor Law, New York

Answers:

M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

As a general rule, a company is not legally obligated to provide a departing worker with a severance package. That is unless providing one is required under the terms of a union agreement/employment contract or severance had been given to others in a similar situation as yours. Otherwise, absent some form of actionable discrimination, you have no claim here.


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