1. Parties and Separation Date
This Severance Agreement (the "Agreement") is made between [EMPLOYER NAME], located at [EMPLOYER ADDRESS] (the "Employer"), and [EMPLOYEE NAME], residing at [EMPLOYEE ADDRESS] (the "Employee"). The Employee's employment as [JOB TITLE] ends on [SEPARATION DATE] (the "Separation Date").
2. Amounts Owed Regardless of Signature
Whether or not the Employee signs this Agreement, the Employer will pay the Employee all salary earned through the Separation Date, [payment for accrued, unused leave,] and any reimbursable expenses submitted by [EXPENSE DEADLINE], in accordance with applicable law.
3. Severance Benefits
In exchange for the Employee's promises in this Agreement, and provided the Employee signs and does not revoke it, the Employer will provide: (a) severance pay of [AMOUNT AND CURRENCY], equal to [NUMBER] weeks of base salary, paid [in a lump sum / in installments on regular paydays] beginning [TIMING]; (b) [BENEFITS CONTINUATION, e.g. payment of health insurance premiums until DATE]; and (c) [OTHER, e.g. outplacement services, equipment, or reference letter]. The Employee acknowledges these benefits exceed anything the Employee is otherwise entitled to receive.
4. Release of Claims
To the fullest extent permitted by law, the Employee releases the Employer and its affiliates, officers, directors, and employees from all claims, known or unknown, arising out of the Employee's employment or its termination up to the date the Employee signs this Agreement. This release does not cover: claims that cannot be waived by law; rights to vested benefits; rights under this Agreement; or the right to file a charge with, or participate in an investigation by, a government agency.
5. Review and Revocation Period
The Employee has [REVIEW PERIOD, e.g. twenty-one (21)] days to consider this Agreement and is advised to consult a lawyer of the Employee's choosing before signing. [OPTIONAL, WHERE REQUIRED BY LAW: After signing, the Employee may revoke this Agreement within REVOCATION PERIOD days by written notice to CONTACT.] This Agreement becomes effective after any revocation period ends without revocation.
6. Return of Property
The Employee confirms that the Employee has returned, or will return by [RETURN DATE], all Employer property, including devices, documents, access cards, and data, and has not kept any copies.
7. Continuing Obligations
The Employee remains bound by any confidentiality, intellectual property, and other post-employment obligations in the Employee's employment contract or other signed agreements, to the extent enforceable. Nothing in this Agreement prevents the Employee from reporting possible legal violations to a government authority or from making disclosures protected by law.
8. Mutual Non-Disparagement and Reference
[OPTIONAL: The Employee agrees not to make false or disparaging statements about the Employer, and the Employer will instruct NAMED MANAGERS not to make false or disparaging statements about the Employee.] On request, the Employer will confirm the Employee's dates of employment and job title [and provide the agreed reference attached as Schedule A].
9. No Admission and Taxes
This Agreement is not an admission of wrongdoing by either party. Payments under this Agreement are subject to applicable tax withholding and deductions, and the Employee is responsible for any taxes owed on them beyond amounts withheld.
10. Governing Law and General Terms
This Agreement is governed by the laws of [GOVERNING LAW JURISDICTION]. It is the entire agreement between the parties about the Employee's separation and replaces any earlier discussions on the subject, but does not replace the continuing obligations referred to in Section 7. If any provision is unenforceable, the rest remains in effect.
11. Signatures
The Parties agree that this Agreement may be signed electronically and in counterparts, and that electronic signatures have the same effect as handwritten signatures. By signing, the Employee confirms that the Employee has read and understands this Agreement, has had the opportunity to seek legal advice, and signs it voluntarily. EMPLOYER: [EMPLOYER NAME] Signature: ____________________ Name: [SIGNATORY NAME] Title: [SIGNATORY TITLE] Date: [DATE] EMPLOYEE: [EMPLOYEE NAME] Signature: ____________________ Date: [DATE]