I got LR'd and I have a question about In Lieu pay. After the one month notice period, I get In Lieu pay in a lump sum. Am I still eligible for this lump sum payment if I have already started work at another company?
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Also...IF there is a bonus, eligible for bonus and the performance factor is automatically a 1.0....so management can't screw you over and you end up with nothing. Early vesting in stock as well, if you have any left.
US package details (grade 12 or less). 1) 30 days pay, still in Cisco and access to Cisco network, use of assets, to find another job, transition, etc. Health insurance thru end of month ending 30 days. 2) In lieu pay: one month plus one month Cobra, grossed up for taxes. 3) Severance: Unused PTO, 3 months pay. Add one week pay for every year after 10 years at Cisco, add 2 weeks after 20 years, Cobra, grossed up for taxes: 3 months for under 10 years service, 5 months for over 10 years service.
The following is not legal advice and applies to US employment only (it may apply elsewhere, but it definitely applies to the US):
You're eligible for everything, including the follow-on indemnification package, period. IIRC, you don't have to certify that you aren't employed - this is not payment to bridge you to a new job.
The first is a payment to get you to leave and not come back - pay they don't dispute that they owe you - this is the "in lieu" payment.
The second lump sum requires you to swear you won't sue, you accept it as payment in full of everything you're owed and settles all claims. It's basically a settlement without going to court, and you only have to give some back if you come back to Cisco within a year. So once again, you can take that money and run, even if you're hired elsewhere the day you walk out the door.
If you can afford to skip the second payment - as in, it wouldn't hurt you severely NEVER to get it - you should consider contacting an attorney and seeing whether they'll represent you in negotiating something better with Cisco. Especially if you're over 40 and in California. At minimum, it would be nice to get them to defer paying you the second lump sum until it's tax advantageous to you (e.g. 2018). But "it would be nice" isn't in the generic package.
Cash for COBRA, added back tax. Good money.
Cisco gives money for Cobra or they provide coverage for severance duration?
They give money for Cobra (severance duration) or they provide coverage?
Save some of the money for taxes, you are entering a new bracket
Short answer yes.
After the waiting period you can sign and take anything remaining as a lump sum.
This is:
Money for the remainder of our 30 days that you won't work
The in lieu of pay that covers the time you would have worked if they gave 45 days notice of a layoff
Unused PTO
Money for Cobra
Your severance
What package they gave you - please provide details.