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Question:  Can severance pay offset WARN damages?

Date Added:  3/1/2012 3:45:15 PM Hits:  536
Last Revised:  3/1/2012 3:45:15 PM Vote: 
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Answer
WARN allows "voluntary and unconditional" payments that are not "required by any legal obligation" to be offset against an employer's back pay liability. In many cases, however, severance pay is required by contract, including an employer's personnel policies and handbooks. These payments do not offset WARN damages and thus would not serve as pay in lieu of notice.


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