New Jersey Severance Pay Agreement Lawyers

Empowering Clients in Northern New Jersey

Severance pay agreements are generally beneficial to both employees and employers. These arrangements provide employees with compensation and benefits upon termination, making a smoother transition following the end of an employment relationship. 

At Green Savits, we represent employees in all aspects of disputes involving severance pay issues. Our representation includes reviewing proposed agreements and asserting claims to severance pay pursuant to employment contracts and ERISA severance pay plans. 

We represent clients in all types of industries across New Jersey. With 100+ years of collective experience, our competent attorneys understand the issues and what is at stake for you in these matters and disputes.

Discuss your case directly with a New Jersey severance pay agreement attorney at Green Savits by calling (973) 965-8571. You can also reach us online to request a consultation.

Benefits of Severance Pay Agreements 

Severance agreements offer several advantages for both employees and employers. For employees, these agreements often provide financial security during the transition between jobs, reassurance of receiving deserved compensation, and continuity of benefits like health insurance. 

For employers, offering severance pay can minimize potential legal disputes, maintain the company's reputation, and support positive employee relations by showing goodwill towards outgoing staff.

What Should Be in Severance Pay Agreements?

To ensure clarity and protection for both the employer and the employee, the agreement should generally include the following key elements:

• Payment terms: Clearly specify the amount of severance pay the employee will receive, the payment schedule (e.g., lump sum or installments), and any conditions that may affect the payment.
• Benefits continuation: Detail the continuation of benefits such as health insurance, retirement plans, and any other employee benefits. Specify the duration of these benefits and any conditions or contributions required from the employee.
• Release of claims: Include a clause where the employee agrees to waive any legal claims against the employer. This typically covers claims related to employment, discrimination, wrongful termination, and other potential disputes. Under New Jersey law, releases cannot contain confidentiality or non-disclosure provisions that bar an employee from talking about the details of a discrimination claim.  
• Confidentiality: Outline any confidentiality obligations regarding company information, trade secrets, or terms of the severance agreement itself. This helps protect the company's interests post-employment.
• Non-compete and non-solicitation clauses: If applicable, include terms that restrict the employee from competing with the employer or soliciting the employer's clients or employees for a specified period and within a defined geographic area.
• Return of company property: Specify the requirement that the employee return any company property, such as laptops, phones, or documents, before severance pay is disbursed. 
• References and future cooperation: Address the terms of any references the employer will provide and any expectations for future cooperation, such as assisting with the transition or participating in legal proceedings.