With ADP apparently laying off, I wonder if you could voluntarily separate and still get severance? I have heard of other companies doing that when they are downsizing their workforce. I am currently homeshored and it seems like we are on the chopping block. The waiting game is stressful.
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No company has to offer severance if you are laid off so you should never expect it if you voluntarily leave (quit). The only thing you are entitled to is unpaid vacation and maybe a bonus payment if you entitled to one and wait until after June 30th to leave the company. The ERP offered additional $ added to the pension fund and employees could choose to take monthly payments for the rest of their lives or take a lump sum (which was fully taxable). There was no severance, thus no unemployment.
Honestly ADP has terminated several homeshored workers and they did not receive any severance at all except unemployment benefits. Company will pay any unused vacation time with your last paycheck. Also, several homeshored employees basically during the course of a workday received a call from thier manager with a HR person also on the phone and they use the most common method of telling you are not being productive enough and your fired over the phone and the worse part is the health insurance ends by the end of the week. You have to apply for Cobra and unemployment.
That is how ADP has treated many homeshored employees over the last several years.
What they are saying is that the ERP was a funding of the pension plan or 401k vs. a true severance where you were paid for a period of time. The benefit of the ERP is that it's provided tax free. The downside is there is no immediate cash flow unless you are 59.5 years old and can withdraw from your 401k without penalty.
I have never heard of severance being paid to a voluntary term.
Of course, for people very high up the corporate ladder, they might do a mutual termination where they work out a severance package. But for the vast majority, there is no severance and you wouldnt qualify for unemployment pay either.
Explain what you mean by 401K's padding the numbers? Not trying to be rude, but I have no clue what that means. It seems most people laid off are getting severance. Isn't the 401K a separate issue? Just super nervous and looking for some guidance here.
What severance money? 401k’s are what is being used to pad the numbers. You may not get it either.
I don't think ADP is going to do anything for anyones benefit but their own. Why offer severance to a homeshored employee willing to volunteer to leave, when in their twisted minds they are probably hoping the stress is making associates look for jobs outside ADP and they won't even have to pay them unemployment when they leave.