QUESTION
if I apply for another job at the company I am being laid off from do I have to accept the postion to keep my severence package?
Asked on Sep 14th, 2012 on Business Law - Minnesota
More details to this question:
I have worked for this company for 18 years. I work in Minnesota. They are making me apply for the open position in order to get the job. If they offer me less money or I do not accept the position if it is offered to me will it affect my severence or my unemployment. I have been told I will not receive my severence if I am offered and accept the office.
1 ANSWER
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As a general matter, an employer has no obligation to offer its employees any severance at all. The purpose of severance is to substitute for the wages you would have earned had you remained employed. If the employer offers you continuing employment and you voluntarily refuse, then it makes no sense for you to receive severance, and your employer can likely refuse to pay you with complete impunity. It likewise makes no sense for you to be paid severance if you remain employed, even if in a reduced capacity, since your employment is deemed to be on an "at will" basis.
Answered on Sep 16th, 2012 at 11:13 PM