We based our vote on government employees being eligible to collect retirement benefits.
According to Webster's New World College Dictionary (4th ed.), 'SEVERANCE PAY extra pay given to employees who are dismissed through no fault of their own, usually based on length of time employed. Is this a correct assumption to make when responding to your vote?
Sorry for the confusion. I should have been a little more clear. When I used the term 'severance' I was meaning extra pay or an extension of pay and/or benefits when someone is fired or laid off.
In Ozark, all full time employees are entitled to retirement benefits after meeting certain criteria. Retirement benefits are usually based on years employed with the city, age of retirement, and salary. Receipt of these benefits is not reliant on the reasons employment was terminated. As long as you meet the time and service requirements you are eligible to receive retirement benefits.
Severance pay, at least in the way I intended it to mean, would be extra pay/benefits based completely on the reasons employment was terminated. In the case in question, if the city needed to fire or lay off the employee for any reason other than fraud or moral turpitude, the city would be required to pay the employee 6 months’ salary and benefits past the day employment was terminated. The city would also be required to hold a public meeting regarding the employees’ termination. So if the employee was terminated in April for something other than fraud or moral turpitude the city would be required to continue to pay that employee’s salary/benefits until October even though the employee was not longer working for the city.
In the above case, severance pay is being used as a tool to promote job security for city staff and as a possible recruiting tool for new employees.
Hi Melissa,
ReplyDeleteWe based our vote on government employees being eligible to collect retirement benefits.
According to Webster's New World College Dictionary (4th ed.), 'SEVERANCE PAY extra pay given to employees who are dismissed through no fault of their own, usually based on length of time employed. Is this a correct assumption to make when responding to your vote?
Hello,
ReplyDeleteSorry for the confusion. I should have been a little more clear. When I used the term 'severance' I was meaning extra pay or an extension of pay and/or benefits when someone is fired or laid off.
In Ozark, all full time employees are entitled to retirement benefits after meeting certain criteria. Retirement benefits are usually based on years employed with the city, age of retirement, and salary. Receipt of these benefits is not reliant on the reasons employment was terminated. As long as you meet the time and service requirements you are eligible to receive retirement benefits.
Severance pay, at least in the way I intended it to mean, would be extra pay/benefits based completely on the reasons employment was terminated. In the case in question, if the city needed to fire or lay off the employee for any reason other than fraud or moral turpitude, the city would be required to pay the employee 6 months’ salary and benefits past the day employment was terminated. The city would also be required to hold a public meeting regarding the employees’ termination. So if the employee was terminated in April for something other than fraud or moral turpitude the city would be required to continue to pay that employee’s salary/benefits until October even though the employee was not longer working for the city.
In the above case, severance pay is being used as a tool to promote job security for city staff and as a possible recruiting tool for new employees.
Thanks,
Melissa