Has anyone heard any specifics on severance being offered?
16 replies (most recent on top)
Info on the fate of RSUs/Options when separation occurs is on Zero. Most employees will lose what hasn't vested (myself included). Can't speak to the 'circumstance' of sign-on RSUs.
Can anyone answer the RSU and Option question?
Second the RSUs and Options. What happens with those?
Considering circumstance, how are they handling unvested stock/rsu’s? Specifically rsu’s that were awarded as a “sign-on” (and used to compensate forgone rsu’s of previous employer). Terrible time - feeling for everyone.
@lve, I don't know how they will pay for severance, but if they pay off in a longer period, that means the person need to be on payroll as well, which would bring all sorts of liability issues, so I doubt they would do that... Anyone with insight please share.
Are the severance packages being paid out in one shot? Can’t imagine the taxes on that for 2020. A terminated employee already has about 9 months of wages. Now add the severance package on top. The taxable income would put people in a higher tax bracket and pay even more taxes. Would be better if they paid the severance spread out into 2021, but doubt they would.
All animals are equal, but some animals are more equal than others.
- this may come as little comfort to some. Depending on where you are on the food chain (aka pyramid scheme/ VALUES). You may get a parachute while others may get a swift little kick in the “pants”, in other words it’s at the discretion of the powers that be. No rhyme or reason - “at will employment”
Copy/Paste is 100% correct.
I was S 20+... 48 wks
thank you @rtn
I know of a number of S bands that got what has been discussed previously and in this post. I wouldn’t believe the 2 weeks per year one bit.
Also heard s bands are getting 2 weeks per yr. Stingy but unsurprising
What about vesting for Options and RSU's.
Will outgoing employees get accelerated vesting, or do you lose everything NOT vested at date of separation?
I would hesitate to trust the amounts laid out by band. One of the S-bands who was let go this week only got 2 weeks per year of service. Certainly not generous; basically industry standard.
Why has JD made a point of saying the company will be “generous” towards those being let go if it’s just the same severance as it’s always been, and not taking into account current conditions (living in a pandemic)?
Copy-paste: This has been discussed before on this forum. It is boilerplate approach and not much to negotiate. Severance depends on your seniority and band level. Look at chart below which is from a severance policy that has been in place for several years. You will also get a PTO payout which is a separate check but no sabbatical payout so make sure you take your sabbatical. Cobra - up to 3 months covered. You can file for unemployment immediately after your last day.
E and above
1 yr (seniority): 8 weeks pay
1 - 2 years: 12 weeks pay
2 - 4 years: 16 weeks pay
4 - 7 years: 20 weeks pay
7 - 10 years: 24 weeks pay
10 years - 15 years: 32 weeks pay
15 years - 20 years: 40 weeks pay
20+ years: 48 weeks pay
L & U
1 yr (seniority): 6 weeks pay
1 - 2 years: 8 weeks pay
2 - 4 years: 12 weeks pay
4 - 7 years: 16 weeks pay
7 - 10 years: 20 weeks pay
10 - 15 years: 24 weeks pay
15 - 20 years: 32 weeks pay
20+ years: 40 weeks pay
V & A
1 yr (seniority): 4 weeks pay
1 - 2 years: 6 weeks pay
2 - 4 years: 8 weeks pay
4 - 7 years: 12 weeks pay
7 - 10 years: 16 weeks pay
10 - 15 years: 20 weeks pay
15 - 20 years: 24 weeks pay
20+ years: 32 weeks pay
Everybody gets a can of coke and airline peanuts.