Unable to negotiate terms for a severance agreement.
Score a Severance Package Post-Resignation: Knowing When and How It's Achievable
- Navigating a Severance Package After Leaving Your Job
- The Role of Legal Assistance in Severance Discussions
- Factors That Favor Your Chances of Getting a Severance Package
Many employees underestimate their potential for a severance package once they resign. However, there's a silver lining: A severance package is achievable under specific conditions, even when you resign.
Navigating a Severance Package After Leaving Your Job
While there's no automatic legal right to a severance package after resignation, there are exceptions, particularly when the employer breaches their obligations, such as persistent harassment, delayed pay, or severe health and safety violations. In such cases, resigning without notice may lead to a severance claim, especially if it results in a mutually agreed termination or a court settlement (as regulated under § 628 BGB) [1].
Alternatively, a settlement agreement can secure a severance package. Both parties agree to terminate the employment contract, and the employer pays the employee a severance package. This approach works best when the employer has a keen interest in ending the relationship, for instance, to avoid potential wrongful termination lawsuits. Employees in such situations can demand a severance package, even if they initially decided to resign [1].
Collective bargaining agreements or social plans can also offer a path to a resignation-based severance claim. Check your company's applicable agreements for possible avenues [1].
Another tactic is the so-called strategic resignation. The employee signals their intentions to leave to the employer, potentially leading to a settlement agreement with a severance package, before actually resigning. This strategy depends on strong negotiation skills and is recommended with legal guidance [1].
The Role of a Lawyer in Severance Discussions
An experienced labor lawyer can help you secure a severance package after resignation. They scrutinize the situation, investigate potential infringements of the employer's obligations, and design a tailored negotiation strategy. Their expertise improves your chances of a fair severance package. Moreover, they clarify the legal implications of your resignation, specifically regarding your unemployment benefits eligibility. Typically, there's a waiting period of up to 12 weeks following resignation during which you may not receive unemployment benefits. A skilled lawyer can help you avoid or shorten this waiting period by drafting a settlement agreement based on valid reasons [1].
In addition, your lawyer will be instrumental in negotiations regarding the severance amount, considering factors such as employment duration, age, and market conditions. Tax matters, such as the application of the 50% rule for tax reduction, can also be included in the negotiations [1].
For further tips and supporting information, consult here.
[1] [Enrichment Data: Gathering Information and Starting a Conversation]
[2] [Enrichment Data: Role of a Lawyer in Severance Package Negotiations]
[3] [Enrichment Data: Negotiation Representation]
[4] [Enrichment Data: Contractual Considerations]
[5] [Enrichment Data: Understanding Company Policies and Past Practices]
In certain situations after resignation, employees might be eligible for a severance package if the employer breaches their obligations such as persistent harassment, delayed pay, or severe health and safety violations. (finance, business)
An experienced labor lawyer can aid employees in securing a fair severance package after resignation by scrutinizing the situation, investigating potential infringements, and designing a negotiation strategy. (finance, business)
