Thread regarding Rent-A-Center Inc. layoffs

Agreement

Section 6.09 Employment and Company Benefits.

(a) During the twelve (12)-month period following the Closing Date (or, such shorter period of employment, as the case may be), Parent shall, or shall cause the Surviving Company to, provide each Company Employee with (i) a base salary or hourly wage rate that is at least equal to the base salary or hourly wage rate provided to the Company Employee immediately prior to the Closing Date, (ii) incentive compensation opportunities that, with respect to each Company Employee, are no less favorable in the aggregate than the annual and long-term cash incentive compensation opportunities in effect for the Company Employee immediately prior to the Closing Date, and (iii) employee benefits that, with respect to each Company Employee, are no less favorable in the aggregate than the employee benefits provided to such Company Employee immediately prior to the Closing Date; provided , however , that neither Parent nor the Surviving Company shall be required to provide incentive compensation in the form of equity or equity-based compensation.

(b) Parent shall provide each Company Employee who incurs a termination of employment during the twelve (12)-month period following the Closing Date with severance benefits that are no less favorable than the severance benefits to which such Company Employee would have been entitled with respect to such termination under the severance policies, practices and guidelines of the Company or any Company Subsidiary as in effect as of the date of this Agreement and disclosed in Section 4.10(a) of the Company Disclosure Letter.

(c) Parent shall, or shall cause the Surviving Company to, give each Company Employee full credit for such Company Employee’s service with the Company and any Company Subsidiary (and any Affiliates or predecessors thereto) for all purposes, including eligibility, vesting, determination of the level of benefits (including, for purposes of severance, vacation and other paid time off) and benefits accrual under any benefit plans maintained by Parent or any of its Affiliates (including the Surviving Company) in which the Company Employee participates to the same extent recognized by the Company immediately prior to the Closing Date; provided , however , that such service shall not be recognized (i) for purposes of benefits accrual under defined benefit pension plans or (ii) to the extent that such recognition would result in a duplication of benefits with respect to the same period of service.

(d) Parent shall, or shall cause the Surviving Company to, (i) waive any preexisting condition limitations otherwise applicable to Company Employees and their eligible dependents under any plan maintained by Parent or any of its Affiliates (including the Surviving Company) that provides health benefits in which Company Employees may be eligible to participate following the Closing, other than any limitations that were in effect with respect to such Company Employees as of the Closing Date under the analogous Company Benefit Plan, (ii) honor any deductible, co-payment and

out-of-pocket maximums incurred by a Company Employee and his or her eligible dependents under the health plans in which such Company Employee participated immediately prior to the Closing Date during the portion of the plan year prior to the Closing Date in satisfying any deductibles, co-payments or out-of-pocket maximums under health plans maintained by Parent or any of its Affiliates (including the Surviving Company) in which such Company Employee is eligible to participate after the Closing Date in the same plan year in which such deductibles, co-payments or out-of-pocket maximums were incurred, and (iii) waive any waiting period limitation or evidence of insurability requirement that would otherwise be applicable to a Company Employee and his or her eligible dependents on or after the Closing Date, in each case to the extent such Company Employee or eligible dependent had satisfied any similar limitation or requirement under an analogous Company Benefit Plan prior to the Closing Date.

(e) Parent shall, or shall cause the Surviving Company to, comply with the WARN Act or any similar Law, with respect to “employment losses” which would constitute a “mass layoff” or “plant closing” (each as defined in the WARN Act) occurring at or after the Effective Time.

(f) No provision of this Agreement shall (i) create any right in any Company Employee or any other employee of the Company or any Company Subsidiary to continued employment by Parent or the Company or their respective Affiliates, or preclude the ability of Parent or the Company or their respective Affiliates to terminate the employment of any employee for any reason, (ii) require Parent or the Company or any of their respective Affiliates to continue any particular Company Benefit Plans or prevent the amendment, modification or termination thereof after the Closing Date (subject to the other provisions of this Section 6.09) , (iii) be treated as an amendment to any employee benefit plan of Parent or the Company or any of their respective Affiliates, or (iv) create any rights or remedies as a third party beneficiary in any current or former employee, director or consultant of the Company or any Company Subsidiary.

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Post ID: @TUWqv2Y
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15 replies (most recent on top)

@2kdpk-secfiling.com/rentacenter

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Post ID: @TUWqv2Y-2ptfg

Were can the original file be located? This is section 6.09 of the full agreement. Does anyone know where the rest of the agreement can be located?

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Post ID: @TUWqv2Y-2kdpk

HAHA! I think what they are referring to is something called internal affairs where there’s this department called compliance and employee relations. If this former company actually cared whenever anyone had a complaint regarding to their working environment and/or coworkers you wouldn’t have to ask ‘How’.

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Post ID: @TUWqv2Y-gubg

@TUWqv2Y-dzhu who will and how can you check the management? aside from hearsays - i canot think of knowing how.

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Post ID: @TUWqv2Y-etvy

Tips for new company: Don’t hire former managers of Arron’s who’ve had their Arron’s locations closed before coming RAC leadership. Like, why would you anyway? Upper management made so much money with RAC... and for what? Check the management. Please check the management.

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Post ID: @TUWqv2Y-dzhu

Since I left before everything happened and the layoffs began in our district, I was paid for all vacation that just reset when I decided to quit. Lol! So I got all of my vacation pay. I don’t like for someone else to decide when I stop working for them. I read the news for over a year, and made a decision before it went down. I choose my life, they don’t.

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Post ID: @TUWqv2Y-dwys

welcome to real world! it has always been that way - and will always be - "survival of the fittest". at the end of the day - only ONE remains faithful.

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Post ID: @TUWqv2Y-8xqo

@TUWqv2Y-6bnq

Man. That must be awkward.

So lame how mitch during our townhall said oh, once we transition, I'll still be the ceo. It's like wow... who cares? Good for you? What about us?

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Post ID: @TUWqv2Y-7bmx

@TUWqv2Y wow... would you have gotten more severance if you worked at the company longer?

Sorry to hear that you couldn't cash out on your vacation. That's so lame.

After your experience, I'm sure you wouldn't want to be rehired by this pos company anyway.

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Post ID: @TUWqv2Y-7bhn

IT is slowly being outsourced to a company called cognizant. We are having to train our replacements.

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Post ID: @TUWqv2Y-6bnq

I was laid off during the 1st round of layoffs this year. They only gave us 2 weeks of pay for severance, did not let us use our vacation (I had 80 hours), and told us if we accept the severance we were not eligible for rehire. This is a garbage company.

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Post ID: @TUWqv2Y-5roe

Wow. Surprised to see if you get laid off you get a minimum of 4 wks.

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Post ID: @TUWqv2Y-3quh

Here are the possible outcomes of this merger: 1) Your position stays in Plano, you stay in Plano. 2) Your position moves to Orlando, you move to Orlando. 3) Your position is outsourced to a contract company (in Plano), you have the opportunity to apply for your old position. 4) Your position is eliminated, you are layed off. If you are layed off, the standard RAC severance package for salaried coworkers is one week pay for every year of service, minimum of 4 weeks, maximum of 12 weeks. Your benefits end at midnight of your last day of work.

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Post ID: @TUWqv2Y-3ppv

Haha! Or vice versa! @TUWqv2Y-qnh

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Post ID: @TUWqv2Y-2jgn

Translation: The first party can't prevent the second party from partying!!!

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Post ID: @TUWqv2Y-qnh

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