One look at the latest layoff stats and you know that more companies are offering severance packages. But how much time are your peers really ponying up?
New stats from The Society for Human Resource Management can give you an idea. It polled over 3,000 companies on how many weeks of severance pay they offer per years of service. Check out your current offerings against what they said:
- Less than a week — 9%
- One week — 38%
- Two weeks — 19%
- Three weeks — 1%
- Four weeks — 2%
- More than four weeks — 1%
- Severance isn’t based on length of service — 30%
The majority of companies hover around the one-two week range, but there’s also a sizable 30% that bases severance on other factors besides length of time with the company.
How does your company stack up? Do you base purely on length of service, or are there other areas you take into consideration? Sound off in the comments section and let us know what works for you.