Is the employer required to offer a severance package to older workers?
Generally, no. If, however, the employer has created a severance plan, or has planned to create a severance plan, then the employee may be entitled to an offer of the severance benefits. Also, if the employer has a regular practice of offering severance packages in certain situations and you meet all of the criteria, then you may be entitled to a severance package. An employee should keep in mind that the employer is typically going to have the right, under most severance plans, to modify its terms or abolish the plan as it sees fit. If your employer does have a severance package, then you are entitled under the Employee Retirement Income Security Act (ERISA) to receive a written summary of the plan. This summary will set out what you may be entitled to receive and what the conditions to your receipt of the benefit are.
