When your employment ends—whether through termination, layoff, or resignation—you may be presented with a severance agreement. While these documents often come with a financial offer, they also usually contain clauses that affect your legal rights. If you’re in Fairfield Township and facing a job transition, it’s critical to understand the implications of signing a severance agreement and to ensure that your interests are protected.
What Is a Severance Agreement?
A severance agreement is a contract between an employer and employee that outlines the terms of separation. It may include compensation beyond your final paycheck, such as:
- Severance pay
- Continuation of health benefits
- Outplacement assistance
- Payout of unused vacation or PTO
However, in exchange for these benefits, the agreement often requires you to waive certain rights—such as the ability to sue the employer for wrongful termination, discrimination, or unpaid wages.
Why Legal Review Is Essential
While severance agreements may appear routine, they are legally binding and often drafted in favor of the employer. By signing, you may be giving up important claims or accepting restrictive covenants like non-disparagement or non-compete clauses. A thorough legal review can help you:
- Understand exactly what you’re agreeing to
- Identify problematic language or hidden liabilities
- Negotiate better terms or more compensation
In many cases, you are not required to sign immediately—and taking time to consult an attorney can lead to better outcomes.
Can You Negotiate a Severance Package?
Yes. Severance agreements are negotiable, especially if your employer wants to avoid potential legal claims. Common negotiation points include:
- Amount and timing of severance pay
- Extension of health benefits
- Mutual non-disparagement clauses
- Waiver of restrictive covenants
If you believe you were wrongfully terminated or faced discrimination, these factors can strengthen your leverage during negotiations.
Legal Support You Can Count On
Protecting Your Rights during a job separation is just as important as protecting them during employment. Castronovo & McKinney, LLC has helped numerous clients in Fairfield Township understand, negotiate, and challenge severance agreements. Their experienced legal team ensures that you don’t sign away your future without receiving fair compensation in return.
Contact Castronovo & McKinney Today
Before you sign anything, make sure you know exactly what you’re agreeing to. Contact a skilled employment lawyer who will advocate for your financial and legal well-being.
New Jersey Office:
71 Maple Ave
Morristown, NJ 07960
Phone: 973.920.7888
Fax: 973.920.7924
New York Office:
420 Lexington Avenue, Suite 1830
New York, NY 10170
Phone: 646.755.3781
Fax: 646.755.3781
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