Complete Severance Package Guide

While severance packages are given to support employees leaving a company, companies too benefit from offering severance packages—legally, financially, culturally, and reputationally. Whether your organization is creating a severance package from scratch or updating an existing one, this guide will help you put together a suite of benefits that best fits the needs of employees and the goals of your company.

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What is included in today’s severance package?

In the digital era, concerns such as protecting Glassdoor rankings and social brand have become strong motivations for investing in and updating severance packages. Companies often include:

  • Pay
  • Continuation of benefits
  • Retirement benefits
  • Outplacement and other career transition support
  • And more!

Key statistics

  • 1 in 5 small and mid-sized businesses will face an employee lawsuit
  • Words shared on social media about a company with 1,000 followers can potentially reach 10,000 people online
  • A bad reputation costs companies about $4,723 more per hire
Sources: Inc., LinkedIn, Harvard Business Review

About the guide

The Complete Severance Package Guide will answer all the common questions HR professionals have about severance packages, such as:

  • What is a severance package?
  • When are companies are required to provide severance packages?
  • What benefits should my company include in a severance package?
  • What should my company include in a severance agreement?
  • How and when should my company offer a severance package?

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