Free Severance Package Template

Companies provide a severance package to their laid-off employees. There are a lot of considerations to ponder before creating this that surely gets you off from control. To ease your workload, we provide you this template. This template has six parts. All are written professionally linear to a goal, which is to protect any company from possible disputes or misunderstandings coming from the employees who just concluded their employment. You take this template with you, so you could protect your company from any disturbances outside your management and provide your workforce with benefits you owe them. Download this one now!

Severance Package Template

[INSERT COMPANY LOGO]
[INSERT COMPANY NAME]
[INSERT COMPANY ADDRESS]

[ ADD DATE]

On the grounds that this company acknowledged workforce reduction, [Insert Employee’s Name] had been recognized as part hereto. Should both parties be in unison of the termination of this binding corporate relationship, this severance package is served to the employee name, as stated earlier. 

This package covers as follows:

A. Severance Pay Terms

[Employee] covering [3] years in service, as calculated based on the payout table presented after this, will receive severance pay of [state the value] credited together with the last payment on the last day of employment effectively. 

B. Confidentiality

All disclosed information in this severance package should be within the hold of the two involved parties. Either a part or the entirety should not be relayed to another person/s, organization/s, or other entities; considered breach when done. 

C. Non-Disparagement Clause

The person that the signature affixed at the bottom should not take any actions that drive the company into trouble by all means. “Actions” as the term coined here covers all its kinds. 

D. Career Transition Benefits

[Employer] offers outplacement to the [Employee] to help him/her find a new job position giving emphasis on the same to relevant career track coming from well-grounded outplacement firms immediately as possible. This is to aide him/her of burdens of the process. 

E. Continuation of Benefits

The Employer tied to the Consolidated Omnibus Budget Reconciliation Act of 1985 should provide health coverage continuation to employees of qualified dependents. However, life insurance, retirement plans, disability insurance, and vacation plans are out of count.

F. Release of all Claims

The Employee agrees to all the considerations presented, so as with the conditions of benefits provided. As agreed, the company is hereby off from all claims, liabilities, obligations that arise, or occurring at any time after the date the Employee affixed the signature herein. 

_______________________________
Employer’s Name and Signature
_______________________________
HR Manager’s Name and Signature

_______________________________
Employee’s Name and Signature