Q: I need advice on how to proceed about a severance offered after being fired
A:
Although severance pay is not required by law in Arizona, employers will sometimes offer a severance package when they are terminating an employee. Employers can offer a severance package out of the goodness of their hearts to soften the blow of an involuntary termination, but the main legal reason to offer a severance is to avoid potential future lawsuits by having the terminated employee sign a release in exchange for the severance package.
Sometimes the severance package can be a good deal of the employee. Even if the employee has potential legal claims against the employer, the amount provided in the severance might represent a reasonable settlement of those claims. On the other hand, sometimes an initial severance offer might not adequately compensate the employee for the value of their legal claims against the employer and the employee may be better off pursuing legal recourse.
An employment law attorney could review the severance package with you and discuss your potential employment claims in order to give you advice on whether any particular severance package is a good deal or not.
Tim Akpinar agrees with this answer
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