Can my employer provide a severance package instead of notice?
It is possible for an employer to provide a severance package instead of notice in two situations. First, the severance package may be conditioned on waiving any claims under WARN. The conditions for waiver are discussed in the next question. Secondly, the severance package may offset WARN, this effectively providing pay in lieu of notice. There are certain circumstances under which WARN allows “voluntary and unconditional” payments that are not required by a legal obligation or collective bargaining agreement to be offset against an employer’s back pay obligation. However, payments that are required by a contract, such as an employers personnel policies (or much less likely, state law), would not offset WARN damages and, thus, would not serve to reduce the employer’s liability.