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Labor Lawyers....
Is it legal for a company to not pay a beneficiary your severance pay if you pass away while you are receiving that severance pay?
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Posted 9/29/15 11:24 AM |
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Long Island Weddings
Long Island's Largest Bridal Resource |
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Labor Lawyers....
I would call the labor Dept. I have called before for previous jobs and they are always helpful and have info. :)
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Posted 9/29/15 11:58 AM |
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brooke23
LIF Toddler
Member since 3/11 482 total posts
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Labor Lawyers....
It will likely depend on how the severance agreement is drafted. (I am assuming the employee was not protected by any sort of a collective bargaining agreement - in which case that would control --- but that the t severance is being paid by a proviate employer pursuant to the company and the deceased having entered into an agreement and general release). for example, a private employer could draft something that says that severance payments would be made for X time unless employee pre-deceases that date etc. (or, for example, employee gets another job)
Message edited 9/29/2015 1:26:28 PM.
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Posted 9/29/15 1:24 PM |
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Re: Labor Lawyers....
Posted by brooke23
It will likely depend on how the severance agreement is drafted. (I am assuming the employee was not protected by any sort of a collective bargaining agreement - in which case that would control --- but that the t severance is being paid by a proviate employer pursuant to the company and the deceased having entered into an agreement and general release). for example, a private employer could draft something that says that severance payments would be made for X time unless employee pre-deceases that date etc. (or, for example, employee gets another job)
Yes it states that if the employee dies within the time they get severance, they company then takes the rest of the money owed to that person since they are no longer living.
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Posted 9/29/15 2:57 PM |
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brooke23
LIF Toddler
Member since 3/11 482 total posts
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Labor Lawyers....
yeah, probably not much the family can do then.....its the "deal" that the employee struck and it's not illegal.....
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Posted 9/29/15 3:21 PM |
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nrthshgrl
It goes fast. Pay attention.

Member since 7/05 57538 total posts
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Re: Labor Lawyers....
Not a lawyer but the type of lawyer you would need would be a contracts attorney.
Severance agreements are contracts. My guess would be that unless it is specified in the contract they are 100% supposed to pay the terms of that contract. I would have an attorney send a letter. By the way, it's not the family that would get it. It would be the deceased's estate.
edited - just read your update. With the new info, I'd say they get nothing. The person agreed to the terms of the severance.
Also I'll chime in with what a crappy thing for a company to do.
Message edited 9/29/2015 9:24:04 PM.
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Posted 9/29/15 9:22 PM |
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Re: Labor Lawyers....
Thanks everyone, and yes, it is pretty crappy.
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Posted 9/30/15 4:53 PM |
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