Severance Pay Calculation

Kodante

Good Morning!
Our company's policy on severance pay is "1 week's pay for each year of service". Now my question is what about those incompleted months?

I have three employee who is being laid off and their year of services are:

A: 2years & 9 months
B: 5 years & 1 months
C: 3 years & 6 months.

Can someone tell me the correct way to calculate severance pay?
Please help!

jules2001

My opinion would be that if it is not clear in your policy, as it seems, then look for past history to see what has been done. If there is none, you decide how you want to do it and then do it that way from now on.

San Francisco

I agree with Jules2001, the decision is yours. We also pay one weeks pay for each year of service. The 170 general office employees that were laid off in February were paid one week for each year of completed service.

Elizabeth