My official separation date is October 21 and I was let go on August 14th. So my severance package will kick in after October 21? Can someone please explain?
7 replies (most recent on top)
For those with 10/21/2023 separation dates, if you sign your severance agreement, you will receive severance pay for the number of weeks eligible for based on job grade level and full years of service (check the schedule). You will not automatically receive severance so need to sign your release of claims against CVS to start your payments. You will get your pay direct deposited if that is how you receive payroll today on the same schedule (biweekly or semi monthly). Taxes will be withheld as currently setup but other deductions stop (pre- and post-tax benefits). You will receive separate information on COBRA benefit enrollment for medical, dental and vision and you will need to pay these benefits separately with post tax money (since not withheld from payroll pretax). Your eligibility for select COBRA benefits that are company subsidized (current plan costs) plus admin. fees will last as long as your # of severance weeks (with signed severance agreement/release). After the end of severance, you can continue COBRA for a certain period of time (total of 18-36 months, depending on personal circumstances) but this extended coverage period will be at full company cost plus admin. fees which makes the coverage extremely expensive! Remember to check your state unemployment claim process with severance (many require you to wait to collect until after severance ends if still unemployed). May want to check the state insurance options in the marketplace to see if coverage would be cheaper than COBRA coverage. Good luck (I am in the same boat)!
Refer to the email and separation guide that we received on the 14th. The reason for the difference in dates has to do with state/federal laws regarding how long of a notice the employer must give those being laid off.
I live in NJ. My last working date is Aug 31, my last active employee date is Nov 18th. At which time any severance pay that I am afforded starts. I've figured mine out and I will basically get paid thru May of 2024 with 19 years of service.
NJ State law mandates an employer must give 90 days notice before layoffs. This doesn't apply if you are being "fired".
Please ask HR for questions like this. You are definitely getting wrong information here. Why not go to the source to get the right answer?
You will NOT get one check for number of years of service. Refer to the section "Compensation after separation" in the pdf for details. You will receive your severance pay on the same schedule as your regular pay for X weeks which will begin retro to 10/21 (in your case). I think there's some sort of period of a month+half where you won't get paid
It kicks in after the 21st.
You'll get a one check for one week for whoever many weeks you've been there. Example. You were there 5 years so you'll get one check for 5 years
Yes, it starts then.