What is severance pay? Am I entitled to it? What is Severance Pay? You may receive severance pay when you are terminated or otherwise separated from your employment. Severance pay is any sum of money your employer provides you upon separation. Some severance agreements also offer other benefits (e.g., health insurance) to employees  for some period of time after separation. For example, suppose you are fired. Under the terms of your severance agreement, your employer pays you

Were you, along with a substantial number of your coworkers, recently laid off? Did your employer give you sixty days notice of the layoff? If not, your employer may have violated the WARN Act. The Worker Adjustment and Retraining Notification Act was passed in the late 1980’s, with the intention or protecting workers and their families from unexpected job loss. The law requires employers to give sixty days notice to affected employees prior to a plant closing or mass layoff.