If you are leaving your job, laid off for any number of reasons; or terminated on account of a discriminatory and/or unlawful practice, your employer may ask you to sign a severance agreement. Generally, a severance agreement is considered to be an employment contract where your employer and you agree to exchange something of value when your leave your employment.
Most if not all severance agreements are likely to ask you to sign away a number of rights. As an example, your employer may offer a severance package in exchange for giving up your right to sue the employer for discrimination, retaliation or a hostile work environment. Our firm has observed employees give up their rights time and time again because they failed to consult with one of our lawyers. Before signing your agreement, you should always consult with an attorney and we are happy to guide you. Unfortunately, a number of common mistakes are made by employees on severance agreements. Here is a list of some of the few: