5 Although it is possible to waive many legal rights, these are the most common rights in severance contracts: the severance contract should also cover all accrued but unpaid NTPs or leave allowances that normally have to be paid on the last day of employment or a few days after. The employer`s instructions or the staff manual should be reviewed to determine what might be owed. There are a number of important legal and economic issues that should be taken into account when negotiating an employment agreement. If you are over 40 years old and the company offers you a compensation package, the company must give you at least 21 days to review it and 7 days to revoke the package. It will often be advisable to consult a lawyer who is an expert in solving these problems. And your ability to obtain severance pay or additional benefits depends on any bargaining leverage and any potential claims against the company you may have. There are several legal rights that cannot be waived in a severance contract. This includes, among other things: in general, there is illegal dismissal when an employer terminates a worker without giving him notice of dismissal or the result of it, in accordance with the Employment Standards Act, 2000. The victim can bring an illegal action against the employer by making a claim for financial compensation. Employees often receive stock options or restricted shares and performance shares or shares that are subject to vesting and have limits on when they can be exercised or earned. Here are some frequent requests from employees regarding severance agreements: here are the most important issues to take into account during severance pay: severance agreements may also require employees to limit their behaviour by other means. For example, the compensation agreement may require the employee not to discuss the reasons why he was fired, do not speak badly about the company or do not share trade secrets.
The practical reality is that your ability to change the terms of an employer-sponsored severance agreement is entirely related to the threat to the employer that you will sue for deserving rights. What they “give” is really better framed a question: “What do they buy?” They want to buy a “general release of all claims” and make the first offer. The compensation agreement basically creates the following options: take them, reject them or counter them.