Severance pay can be a good investment. That may sound untrue,given that it involves paying money to someone who doesn’t work foryou anymore. But when you offer severance benefits, it lets allyour employees know that, even if the worst happens, you have somelevel of regard for them and will not leave them high and dry. It’salso a good advertisement for anyone who may be thinking of joiningyour company.
Severance pay doesn’t have to come in dollar denominations.Sometimes, other benefits may be worth more to a former employee.You may be able to provide paid outplacement counseling or trainingfor a new skill. In some cases, simply allowing the employee tokeep a desk at your company for a month or two while he or shesearches for a new job may be worth more than a sizable sum ofmoney. Be creative in offering and negotiating severance pay.
