Was going to be laid off, all of a sudden fired?!

[ThinMint]

What is the name of your state? NY

A few months ago my boyfriends company announced that it would be letting the people go on June 30th. In one case, an employee took that opportunity to quit, gave their two weeks notice, but was promptly fired the next day. Apparently they've been dealing in these shady practices for a while, but my boyfriend has always been in good standing and has even gotten several promotions in a short time. These employees were promised severance pay with their lay off, so my boyfriend has made plans to move to Florida with me to get a job. They offered him a new job, but he asked for his boss to try and find him something in Florida if possible. They were very friendly and tried their best, but couldn't find anything for him within the company. So he turned down the job. He and all the fellow employees were still supposed to get severance pay. Today, his boss, also a good friend, got an email from the higher-ups stating he shouldn't be surprised if they are 'shortstaffed' next week. It is only a few days before the lay off, and my boyfriend is now assuming they will be firing a few people to try and get out of paying their severance. As I've seen in the forums, it seems they can make up any reason they want, but if he's been promised severance before, is this legal? Is there anything he can do? Please answer ASAP, there's not much time!

 

[pattytx]

Short of a valid enforceable contract guaranteeing severance pay, it is probably unlikely he would have any recourse. Plus, in most cases, if an employee who is going to be laid-off (for lack of a better term) is offered another position with the company, the company will not pay severance, since the employee could have continued his employment in a new position. The fact that your boyfriend chose to turn down this offer because he wanted to move to another state with you is understandable, but it oftens results in the recission of severance benefits. Such refusal may also affect his eligibility for unemployment benefits.

I'm sure this is not the answer you wanted to hear, but it is my experience in over 25 years in the area of HR/Payroll.

 

[ThinMint]

I just spoke with my boyfriend and he said that even the employees that were placed are getting severance, and they were told whether or not they took the positions they would get severance pay.
Of course, if they make up a reason to fire him, then they don't have to pay severance right?
He is saying he just has to wait and see, because either he gets laid off and gets paid, or gets fired and gets nothing. But can this be done?

 

[pattytx]

See my response again about a valid enforceable contract guaranteeing severance pay. Short of that, it is not illegal for the employer to selectively grant severance pay. What I posted was the way most employers structure their severance pay plans. It was not meant, in any way, to state nor even imply that those practices are required or that any other practices are necessarily illegal.

So, has he asked his boss or HR whether he will be receiving severance pay? What are they saying now?

 

[ThinMint]

Well he and his coworkers aren't really supposed to know about this just yet. He was only told about it because his boss is a friend, but severance pay is out of his bosses control. I guess we will have to wait a bit until we hear more.