Even if you have worked many years for the same company and did a great job, there may come a time where they need to lay you off. If this time comes, they may decide to offer you a severance package to help you transition between your current job and your next one. Typically, your employer is going to have you sign away certain rights and agree to terms to get money. It is best to use a severance calculator or hire an attorney to help get the best deal. Below are some tips to help you negotiate a good severance package.
1. Don’t Settle For First Offer
Many people who get laid off are afraid they will get nothing if they don’t accept the first offer their employer makes. However, you do not have to agree to the first amount offered. Most companies are better off having their employees sign for a severance package to buy them a certain level of protection. Don’t be afraid to make a case for more money.
2. Don’t Respond Too Quickly
Don’t assume it is required to respond automatically to a severance package. You may be offered several different agreements during the same meeting for your termination. Ask your employer if you may take the terms of the agreement home so you can go over them after calming down from the shock. Use a severance calculator to determine if you are getting a good deal.
3. Stay Professional
Maybe you just had a baby or bought a new house, but those circumstances are not the company’s problem. Instead of trying to use them as reasons to get a more generous severance package, stick to facts about business, such as how long you have worked for the company and that you have a proven record of success for your employer. These types of points will help build a stronger case for getting you a better severance package deal. There are resources available at Levitt LLP if you want more information.
4. Fight For More Than Money
Money should not be the only thing on your mind when you are fighting for a better severance package. For example, try to negotiate a deal where you can stay on your employer’s health insurance until you find a new job. Your goal is to obtain a severance to help you survive a layoff as best as possible.
5. Don’t Limit Future Employment
One thing you should try to avoid when agreeing to a severance package deal is signing away your rights to work for certain companies. Agreeing not to work at certain types of companies could end up keeping you out of work longer than you expect. Don’t hesitate to include limiting restricted companies in your negotiations.
These are just a handful of ways to help you negotiate a good severance package. Losing your job is never easy, but it can be less intimidating with a better deal on the table. It is important to always fight for what you deserve.