At Benton Employment Law, we understand that sometimes employment relationships come to an end. Whether it’s due to a layoff, termination, or resignation, it’s important to ensure that both parties have a clear understanding of their rights and obligations moving forward. That’s where severance agreements come in.
What is a Severance Agreement?
A severance agreement is a legally binding contract between an employer and employee that outlines the terms of separation. Typically, a severance agreement includes financial compensation for the employee in exchange for a release of claims against the employer.
Why Do You Need a Severance Agreement?
For employees, a severance agreement can provide financial security during a period of transition and protect their legal rights. For employers, a severance agreement can help avoid potential legal disputes and protect the company’s reputation.
What Should be Included in a Severance Agreement?
A severance agreement should be tailored to the specific circumstances of the employment relationship. However, some common provisions may include:
- Amount of severance pay
- Timing and method of payment
- Continuation of benefits
- Confidentiality and non-disclosure agreements
- Non-disparagement clauses
- Release of claims against the employer
- Restrictive covenants (e.g. non-compete agreements)
Why Choose Benton Employment Law?
At Benton Employment Law, we have extensive experience drafting, negotiating, and reviewing severance agreements. Our goal is to help our clients achieve a fair and equitable resolution to their employment relationship. We take the time to understand our clients’ unique needs and goals and work tirelessly to protect their legal rights.
If you need assistance with a severance agreement, contact Benton Employment Law today to schedule a consultation.