This is what we got when I was laid off in 2020. Of course I can’t guarantee how they are handling things now but hopefully this answers a few questions. After all was said and done, I ended up with about $24k after severance, PTO, and pension plus I was eligible for unemployment.
I very much appreciate your service and commitment to Medtronic. It is with regret that I inform you that your position has been impacted by a reduction in force, effective, Xxxx 2020. Your last day of employment will be 60 calendar days from today, xxxx, 2020 (“Termination Date”). The time period between today and xxxx, 2020, will be a notice period (“Notice Period”) and during this Notice Period there will be no change to your benefits or pay. During the Notice Period, you will not be required to report to work; rather you can use this time to focus on your career transition. Your Employment Agreement and Confidentiality Agreements, if applicable, will continue to govern the terms of your employment during the Notice Period, including your obligation to maintain the confidentiality of Medtronic information.
If you do not find other employment with Medtronic before your termination date, you will receive an offer for a severance package in the mail. The general terms of this severance package will include:
Severance Pay Award: Lump Sum Payment
A one-time lump sum severance payment equal to xxxxx weeks of pay which amounts to a payment of xxxxx (less standard deductions and withholdings). The lump sum payment shall be paid to you as soon as administratively possible after the end of the revocation period applicable to your Agreement.
COBRA Premium
At the end of the Notice Period, if you elect to continue coverage through COBRA, Medtronic will subsidize the COBRA premium for your medical and/or dental plans in which you are currently participating for a maximum of three (3) months or until you are reemployed, whichever occurs first. During those first three months, you will be responsible for paying the employee portion of the applicable premium for the level of coverage elected directly to the third-party administrator and Medtronic will pay the balance of the COBRA premium directly to the vendor. Eligibility for COBRA is contingent on your timely enrollment in COBRA coverage.
Outplacement
You are eligible to receive outplacement services, Professional Service 2 Months, which will be provided by xxxxxx. Additional information about these services is located in your packet. Please note that you may begin using the Outplacement services during your Notice Period and prior to signing the Medtronic Separation Agreement and Release.
This severance package is subject to Medtronic’s Severance Pay Plan guidelines and is conditioned on your signing a Medtronic Separation Agreement and Release (“Agreement”) in a form and substance acceptable to Medtronic. If you do not sign and return the Agreement within the time frame described in your Agreement, and if you do not return all Medtronic property and confidential information, you will not be eligible to receive any of the pay or benefits described above (with the exception of outplacement during your notice period as noted above). You will receive more specific information in the Separation Agreement and Release several weeks after your Termination Date (if you have not secured another job with Medtronic).
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If you accept a new role with Medtronic after your termination date but during your severance period, you will be required to repay a pro-rata portion of your severance. Your re-employment will be contingent upon your repayment of the pro-rata amount in a lump sum prior to your rehire date.
Your medical and dental benefits will end on the last day of the month you are employed. If you remain employed by Medtronic through your Notice Period, your medical and dental benefits will continue through xxxxx 2020. After your Termination Date, Businessolver will mail you the forms you will need for continuing your medical, dental, and other benefits for which you are eligible under COBRA. You will have the option to elect COBRA coverage retroactive to the first of the month following your termination date; keep in mind your coverage will not begin until you have elected coverage, either online or via US mail, and submitted payment for your first month’s coverage. Note: If you require healthcare services before your COBRA coverage begins, you may need to pay for services out-of-pocket and later submit for reimbursement to the health plan. If you have questions, you may call the Medtronic Benefits Service Center at x-x-x-x-xxxx
If you are eligible for Paid Time Off (PTO), you will be paid for your accrued PTO balance as of your termination date. The payout will not include any hours previously forfeited under Medtronic’s PTO policy. PTO will be paid out in your last paycheck.
If you accept employment with another company before the end of the Notice Period, please let your ER Partner know and we will arrange to pay out the balance of the 60 days (and your unused, earned PTO, if applicable). Your Termination Date will be accelerated and you will receive your COBRA paperwork. You will not receive your Separation Agreement and Release until after your original Termination Date referenced above and in accordance with the process in place. Your current medical and dental benefits (in which you are currently enrolled) will continue through the end of the month in which you are terminated.
You will be eligible for a pro-rata FY21 MIP award. Your pro-rata FY21 MIP award will be calculated based on Medtronic’s financial performance at the end of the fiscal year and paid in July 2021 as long as minimum business results are met.