Severence Pay

Elle · May 2004

I am going to update our severance policy and am not sure if the amount we give is enough or maybe too little. I know that severance is something that the employer voluntarily does but I would like to know what the 'going rate' is?

Does anyone a guideline I can use.

Thanks.

NaeNae55 · May 2004

I believe I read somewhere recently that the average is one week severance per year worked. There is often a maximum attached.

Also read that many companies double this severance amount for management (again, with a maximum payout).

We offer one week per full year worked. We do not offer management more.

Hope this helps.

hr traci · May 2004

Our policy is that we pay severance only to managers or to employees with 10+ years of service. The amount is one week salary for each year of service.

Severence Pay

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