$16,000 Increase to original Severance Package – Given the Sack
We worked with Kevin via: e-mail and provided him all the information he needed. From there we helped him with all the negotiation correspondence which was also done through e-mail. In three business days the result was 33 weeks of payroll continuance, vacation pay on the full amount, 4.5% RRSP contribution, no claw back and continuation of benefits regardless of re-employment as well as a lump sum payout of $1,500 for outplacement which was only an on-line and telephone service.
Here are the facts:
- Kevin worked at a large plastic bag producer and was let go in a major downsizing with falling sales in a bad economy compounded by an environmentally unfriendly product offering
- When he was let go he was offered a package that provided paid notice and severance through salary continuance and an outplacement provision
- In the offering was also a significant claw back on the entire package, a number of other conditions around benefits along with the immediate termination of some benefits
- The claw back structure made it so the offering fell below the minimum legal entitlement
- The release was also in breach of employment standards immediately terminating any rights to claim on health benefits even though the notice period had yet to be served
