Learning More About Severance Pay

Most employees are confused with regards to whether or not they can claim severance pay when they leave an organisation or when they are laid off a job. While a lot of people believe that severance pay is something that you can claim only when you are laid off, you should read the rules for Severance Pay Ontario to see whether or not you will be able to claim your severance pay at the end of a job.

Whether or not you will be liable for severance pay depends upon the employer and the kind of offer that was made to you at the time of joining. This is something that you need to be clear and in case you have no idea about your severance pay rules you may want to pull out your offer letter and go through it. Severance pay is something that most companies offer so it should be mentioned in your offer letter and in case there are no details about the severance pay you can always consult with the Human Resource Department in your organisation to ask them about it.

If you have been laid off the organisation then you have a rightful claim over severance pay, however if you left the organisation of your own will then whether or not you will get a severance pay depends on the organisation. Most organisations provide their employers with a severance pay even when the employees chooses to leave the organisation because they would like to maintain a good relationship with them and they prefer to have a reputed name in the market. Some employers even provide the severance pay to their employees in their time of need or in medical emergency situations where the money can come in handy for the employee.