Beyond base severance pay, employees can negotiate for bridge compensation, COBRA or employer-paid health continuation, accelerated vesting of equity, pro-rated bonuses, and extended access to benefits.
Lawyers may use a severance pay calculator as a benchmark, but they also weigh non-monetary concessions like an agreed-upon reference statement or removal of non-compete restrictions, which can be more valuable long-term than immediate cash in some circumstances.
Certain terms recur in most severance agreements and are often the best places to focus limited negotiating bandwidth. Employers often insist on release-of-claims language to avoid future lawsuits; employees can push to narrow the release or exclude specific statutory claims.
Non-compete and non-solicit clauses are frequently negotiable, particularly if they are broad in scope or duration. Continuation of health insurance, timing of payment, tax treatment (gross-up provisions), and protection of vested equity can all be adjusted. Below is a concise table that shows common elements, typical employer positions, and negotiability to help prioritize discussion with counsel.