National law governs employment and severance agreements and can vary considerably from state to state. They should consult with the Council on how to apply the most appropriate national law. Employers can avoid the NLRA`s problems by including a clause in their severance agreement that says nothing in the pact should be construed as requiring the waiver of statutory rights, Datz says. However, such a provision must be established prominently in the agreement and not be buried in the fine print. At the end of the employment, the employer may attempt to have an employee sign a separation contract. This agreement serves to unlock rights against the employer – essentially a promise of the employee not to sue his former employer. In return, the employer can provide a financial incentive to the employee, often in the form of severance pay, so that he signs the contract. The severance and separation agreement is often a standard procedure for the company. But it could also be a sensitive case in which the company is concerned about being sued. Therefore, we generally recommend that employers use an appropriate release and release agreement when offering severance pay. As a general rule, an employer is not required to offer severance pay unless there is an employment agreement or severance policy that requires severance pay. But even if there is such an agreement or policy of severance pay, the agreement or policy should also require the implementation of a compensation agreement to obtain severance pay and year-end pay. Finally, guidelines published in 2015 by the General Counsel of the National Labor Relations Board (NLRB) have established that non-disparage clauses and other provisions typically contained in severance agreements are illegal because they violate the guaranteed right of employees to concerted activities.

Practical tip: One solution is to include in the agreement a provision that expressly requires the employee to sign the contract after her last day of work. If the employer wishes to obtain a signature before the last working day, the contract should contain conditions which include, among other things, the payment of severance pay for the performance of an annex of the former worker who releases all rights and confirms the agreement – after the last working day . Talk to an experienced Massachusetts business lawyer if you are faced with legal action over severance and severance agreements. Your lawyer can help you negotiate a transaction, enforce the terms of the agreement or obtain financial damages for your losses. Release generally includes rights arising from everything that occurred at the time of signing or prior to the signing of the separation agreement. The receivables released are generally broadly defined and relate to any type of debt or liability resulting from behaviour that occurred up to the date of signing. Know your rights before you prepare or sign a separation agreement to focus on the proposed new rights and obligations. This agreement contains the full agreement between the parties regarding the separation of the worker from employment and the purpose of this agreement and replaces all pre- and simultaneous agreements, agreements, assurances and guarantees between the contracting parties, both in writing and orally, except as stipulated in section [9] of this agreement.