Never been laid off but it might happen. I heard that they either pay you a prorated difference or they keep you insured for a while. How about other benefits likedental and vision?
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If you are 55 or older, use the "Rule of 55" IRS allowance. With this rule, if you are 55 or older, you can start taking 401k withdrawals, from your current employer. It doesn't matter if Cisco LRs you, or if you leave on your own.
This is how several of us in RTP have retired "early" after being at Cisco for many years (early 2000s).
So make sure you max out your 401k and save rather than buy expensive new cars and take high-end vacations. It will pay off in the long run. You can get fairly decent health insurance from the healthcare.gov site.
Pay down your debts, drive use cars, and try to survive until 55, if staying at Cisco long term by choice. Then take the LR package. You then get healthcare.gov healthcare and retire.
Retirement does not have to mean completely not working. I have done 1099 contracting since my LR and it has been fantastic. Some great assignments, some cruddy ones.
The most refreshing assignments have been ones where the hiring manager turned out to be a jerk. I just knuckle down, do the honest best I can to do the work; document the project summary and status, and say Thank You and move on to the next assignment.
It is awesome to be a good worker, and not be bound by the work politics anymore. Huge mental health difference. Wishing you a good Cisco outcome long term if staying.
Companies that lay employees off must offer COBRA for 18 months, by law. After layoff you can choose to continue your current health insurance under COBRA paying the full burden. (it will be expensive, but better to have some health insurance while looking for another job, or researching cheaper options) As part of the package, the company may opt to pay their share of your health insurance for some time before COBRA kicks in and you then pay the entire cost.
so it is 5 ? that is more than OK.
Do you get these money immediately or they pay you monthly ?
Severance: 2 months of salary + 3 months if you sign away rights to sue = 5 months of salary
- Employees with more than 10 years of experience at Cisco might receive another month or two
- VPs & higher can negotiate no show jobs while they stay on the payroll
So the package is:
- X salaries (depending on your tenure with the company) + what else ?
- 4 months of COBRA
How is X calculated ?
In the Cisco packages, they pay for 4 months of COBRA PLUS TAXES - at least in the US. Its a very generous package. As the previous poster said, you also keep it until the end of the month of your term date. So, if you get laid off May 16th, your exit date would be July 16th and you would have insurance until the 1st of August.
You pay for COBRA insurance which is extremely expensive. Or you pick an insurance plan on your states marketplace to save a few bucks.
Few companies pay the COBRA for 2 months after the layoff, depending on the package.
You will have it till end of month you were laid off. So if you are laid off on May 1 or May 29, your current plan is valid until May 31.
You should get Cobra or something else within 60 days is you have any health problems.