Termination and severance
By Offer Unpacked · Updated
Read termination provisions as a sequence: triggering event, notice, payments, conditions and deadlines. Severance described as discretionary is not a fixed payment promise.
Educational guide prepared with AI assistance. No independent legal review is claimed. How these guides are prepared.
Build a departure timeline
Locate the definition of cause and ask whether there is notice and an opportunity to address a problem. Record the treatment of base pay, bonus, unused leave, benefits and equity separately. A severance paragraph does not necessarily cover all of them.
Request the current severance policy or a sample agreement if payment requires signing a release. Ask about the deadline, restrictions after departure, payment schedule and what happens if you find another job. Get professional advice before relying on a release or waiving rights.
Illustrative example
A fictional offer mentions eight weeks of severance subject to company policy, but no policy is attached.
Ask for the policy and its eligibility conditions. The number alone does not establish what happens after a particular kind of termination.
What to look for
- A broad or subjective cause definition
- Severance entirely discretionary
- A release deadline without review time
Questions to ask
- Can cause be limited and include a cure period?
- What severance applies after termination without cause?
Source and scope
U.S. Department of Labor — Severance PayU.S. federal background, not advice on a release or local entitlement. Examples and preparation questions are illustrative editorial content, not conclusions supplied by the source.
Your next step
Ask for a written explanation of a termination-without-cause scenario and all documents needed to receive any payment.