Severance Agreements

Web Admin - Tuesday, January 12, 2016

severance agreements, Illinois employment law attorneyIndividuals who are facing termination from employment may be offered a severance package. The terms of this package are contained within a severance agreement. Employees facing termination should pay careful attention to the terms placed within the agreement and be sure that they understand what the terms mean before signing. 

Provisions in Severance Agreements

Severance agreements are important to employers and employees. For employers, they provide protection against the employee filing a lawsuit against the employer in the future. For employees, the agreement describes what payment and benefits they will receive. Additionally, provisions can be included to protect against what will be said to future prospective employers about the reasons for the termination. The following are several of the most common issues that are addressed in severance agreements: 

- Severance Pay: Payment for the termination is usually offered in some term of weeks (for example, five weeks of pay). It is common for the offer to be based on the length of employment, such as one week of pay for each year of employment.

- Vacation Pay: Employees are entitled to payment for earned, but unused vacation time.

- Non-compete Agreement: If the employer and employee entered into a non-compete agreement, the employer should provide a copy of it to the employee and remind him or her of the terms and conditions. Additionally, changes to the non-compete can be made during severance negotiations and placed in the agreement.

- Returning Equipment: A discussion of what happens to any property of the employer (such as a company phone, laptop, or keycards) that is in the possession of the employee should be included in the agreement. This provision should explain how and by what date the property must be returned.

- Future Jobs: For the terminated employee, it is likely that he or she will be searching for a new job. In that case, it is important for the employee and his or her former employer to agree on how the employer will communicate with prospective employers. If the employee and employer give different reasons for the termination, it can be detrimental in the search for a new job. Additionally, the parties may enter into a non-disparagement clause, which states that neither of them will make disparaging remarks about the other to third parties. A non-disparagement clause should specifically define what cannot be said.

- Claims Waived: This is often the most important provision for employers. Under this provision, the employee relinquishes any right to file a lawsuit against the employer. It should define all of the types of claims and lawsuits that are barred.

- Employees Over 40 Years Old: These types of employees are protected by the Older Workers Benefit Protection Act (OWBPA). Workers 40 years of age and older must be given 21 days to review the severance agreement prior to signing it. Further, they have seven days after signing the agreement to change their mind and revoke it. 

Helping Employees 

If you are faced with a severance agreement negotiation, you should contact a skilled Illinois employment law attorney as soon as possible. Our team can help you understand the provisions in severance agreements, which can help you secure benefits and protect your rights. We proudly represent individuals the communities of Crystal Lake, Schaumburg, Palatine, Des Plaines, Rolling Meadows, Buffalo Grove, Barrington, Arlington Heights, Inverness, and Deer Park. We look forward to hearing from you. 

      Ken Apicella

      About the Author: Attorney Ken Apicella is a founding partner of DGAA focusing in the areas of personal injury, employment, insurance coverage disputes, and civil litigation. Ken earned his J.D. from DePaul University College of Law in 1999. He has been named a SuperLawyers Rising Star and a Forty Illinois Attorneys Under Forty to Watch. Ken has written and lectured for the Illinois Institute for Continuing Legal Education and regularly serves as a moderator at Northwest Suburban Bar Association's Continuing Legal Education seminars.

Source: http://www.eeoc.gov/eeoc/history/35th/thelaw/owbpa.html

Misclassification of Employees

Web Admin - Thursday, November 19, 2015

    misclassification of employees, Illinois employment law attorneyIndividuals who are performing work for a business entity are generally either classified as independent contractors or employees. The difference between the two classifications is important; being considered an employee entitles individuals to greater benefits than independent contractors receive. Unfortunately, whether intentionally or not, the misclassification of employees occurs, and can end up costing employees access to significant benefits. 

    Classifying Workers 

    An independent contractor provides a good or service while retaining control over how that good or service is provided or performed. Moreover, an independent contractor will often treat the entity that he or she provides the work for more like a customer or client, rather than an employer. Frequently, an independent contractor will be performing similar work for multiple entities. 

    If a person performing work is considered an independent contractor, the business entity can avoid providing the person with the benefits that employees are entitled to. Some of these benefits include workers’ compensation, overtime pay, insurance, minimum wage, and family or medical leave. By avoiding these benefits, the entity can enjoy significant cost savings, which can create a competitive advantage over similar businesses. However, this comes at the expense of the individuals the entity employs. 

    Under the Illinois Unemployment Insurance Act, a presumption of employment exists that must be rebutted by the entity in order to lawfully classify the individual performing work as an independent contractor. Specifically, an individual performing services for a business entity is considered an employee unless it is proven that:

    1. The individual is free from the entity’s control or direction over the performance of the work, both under the terms of the contract and in fact;

    2. The service provided is outside of the normal course of the business or is completely performed outside of all of the places of business of the entity; and

    3. The individual is part of an independently created trade, occupation, profession or business. 

    Under the Illinois Employee Classification Act, a construction worker is considered an independent contractor if the above test is met or if the worker is a sole proprietor or partnership. 

    Holding Employers Liable 

    The Illinois Department of Labor, as well as various other government agencies, is responsible for enforcing state laws that govern employee misclassification. Consequences for misclassifying employees as independent contractors include the assessment of interest on late or delinquent unemployment insurance trust contributions and financial penalties. An employer that does not obtain workers’ compensation insurance can be fined up to $500 for every day that it is non-compliant, with a minimum fine of $10,000. It is also possible for an individual to file a personal lawsuit against his or her employer to recover damages such as wages, back overtime pay, or other lost benefits. 

    If you believe that you have been misclassified as an independent contractor, it is important to contact an experienced Illinois employment law attorney as soon as possible. There are potentially significant benefits that you have been denied as a result of that misclassification. Our firm proudly helps individuals in communities throughout the northwest suburbs, including Crystal Lake, Schaumburg, Palatine, Des Plaines, Rolling Meadows, Deer Park, Inverness, Arlington Heights, Barrington, and Buffalo Grove. 

      Ken Apicella

      About the Author: Attorney Ken Apicella is a founding partner of DGAA focusing in the areas of personal injury, employment, insurance coverage disputes, and civil litigation. Ken earned his J.D. from DePaul University College of Law in 1999. He has been named a SuperLawyers Rising Star and a Forty Illinois Attorneys Under Forty to Watch. Ken has written and lectured for the Illinois Institute for Continuing Legal Education and regularly serves as a moderator at Northwest Suburban Bar Association's Continuing Legal Education seminars.




    Recent Posts


    Crystal lake insurance dispute attorney real estate leasing DUI attorney estate planning attorney POA Barrington estate planning lawyer Illinois Wage Payment and Collection Act investment property Deer Park traffic accident attorney uninsured motorist slip and fall estate tax Chicago insurance law firm Palatine estate planning lawyer Deer Park motorcycle accident lawyer bicycle dooring accidents social media after death home inspection lawyer Crystal Lake employment law attorney Crystal Lake personal injury lawyer overtime violations Schaumburg real estate lawyer Rolling Meadows DUI lawyer traffic laws Rolling Meadows employment attorney Schaumburg criminal law attorney Des Plaines DUI attorney Inverness real estate attorney personal injury Chicago estate planning lawyer Arlington Heights personal injury lawyer Barrington criminal defense lawyer breathalyzer test Detainer Actions Illinois pedestrian accident attorney Palatine trusts lawyer traumatic brain injury estate planning trusts Deer Park workers compensation lawyer back injuries Rolling Meadows insurance dispute lawyers Barrington boating accident attorney Rolling Meadows marijuana attorney Palatine employment law lawyer Des Plaines personal injury lawyer Deer Park accident attorney revenge porn Illinois business lawyer car crash personal injury law firm Illinois lawyer Arlington Heights lawyer Illinois civil litigation lawyer pain and suffering CAM involuntary manslaughter underfunded trust advance healthcare directive Illinois defective products attorney murder charges manufacturing owner responsibility eluding a police officer TBI comparative negligence how to avoid common denials of life insurance claims insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys Home Remodeling Repair Act Illinois wills and trusts attorneys capital gains tax license revocation operating agreements medical research Illinois insurance claim attorney Illinois traffic laws Schaumburg construction accident lawyer Illinois living will construction contracts traffic violations Barrington attorney rollover accidents spinal cord injuries loopholes landlord Des Plaines civil attorney Illinois Sales Representative Act Arlington Heights Traffic Lawyer DGAA Schaumburg car accident attorney Illinois driving without license driving Schaumburg medical malpractice lawyer boating accidents ObamaCare Crystal Lake car accident lawyer insurance claim real estate closing forming a corporation in Illinois cell phone accidents Illinois will lawyer Thanksgiving cause-of-death exclusions fatal car accidents Palatine Attorney Illinois employment laws fault based insurance holiday statistics Inverness traffic law firm Palatine insurance lawyer Mount Prospect wills and trusts lawyers deadly crashes internet Arlington Heights car crash attorneys Crystal Lake medical malpractice lawyer speeding Crystal Lake criminal defense attorney wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace personal injury claim Illinois hit and run accident Illinois employment law attorney car accident lawyers motorcycle accident pizza emoji Illinois pet lawyer Illinois estate planning law firm Des Plaines real estate lawyer most common reasons for life insurance claim denials Policy Cancellation South Barrington real estate attorney Rolling Meadows car accident lawyers Illinois construction accident attorney expungement Colin Gilbert power of attorney Exclusions Palatine civil litigation lawyer trucking accident lawyers BAC Rolling Meadows Illinois medical malpractice attorney Buffalo Grove criminal defense lawyer medication errors Barrington employment law attorney Family Medical Leave Act natural gas explosion field sobriety test Barrington civil litigation attorney car crashes Federal Food Drug and Cosmetic Act Fourth of July Illinois attorney IRELA Inverness insurance attorney Palatine traffic accidents Des Plaines injury law firm special needs trust Illinois personal injury murder estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers Buffalo Grove traffic lawyers unauthorized overtime dog bites Illinois rollover accident lawyers corporate law Schaumburg wrongful death attorney caregiver construction accidents hiring employees traffic accidents Illinois personal injury attorney child safety trauma after an accident insurance denials marijuana crimes attorney hands free device Illinois real estate senior citizens Illinois Smoke Detector Act Illinois employment law attorneys changes to mortgage law Illinois motorcycle accident lawyer employment law bad faith insurance claims Arlington Heights employment attorney Buffalo Grove medical malpractice lawyers Illinois boating accident lawyer life insurance policy IRA trust transfer Crystal Lake personal injury attorney Des Plaines Traffic Lawyer Des Plaines motorcycle accident attorney drug crimes employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, wage theft Illinois corporate lawyer Chicago lawyer Crystal Lake business law attorneys Illinois wrongful termination lawyer Whistleblower Claims Arlington Heights insurance attorney insurance claim denials Illinois traffic attorney medical marijuana Schaumburg injury lawyer FSLA Buffalo Grove life insurance attorney wrongful termination spinal cord injury Illinois medical malpractice claim traffic crimes IRA benefits paid sick leave Palatine workers compensation lawyer insurance adjusters Super Mario foreclosed rental property license reinstatement Home Sale Contingencies wills and trusts Crystal Lake tax lawyer ken apicella preventing accidents income distribution deducation Illinois job attorney Crystal Lake injury attorney Barrington personal injury attorney civil rights violation Self-Directed IRA Accounts Rolling Meadows Attorney meal breaks traffic offenses Illinois traffic accident lawyer Illinois workers compensation lawyer truck collisions lapse in policy accidental death benefits Barrington employment attorney Deer Park traffic lawyer pay when paid contract South Barrington real estate lawyer Long Grove estate planning attorney IRS breach of contract Illinois insurance claims lawyers trust payments real estate real estate attorneys attorney fees homestead rights Illinois jet ski accident lawyer Rolling Meadows employment law attorney insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys college kids Schaumburg elder law lawyer premises liability Buffalo Grove law firm defective products living wills life insurance ACA products liability disability benefits clemency civil litigation controlled substance Illinois law Des Plaines insurance attorney GM ignition switches Rolling Meadows traffic law firm probate claims Retaliatory Discharge Schaumburg startup company Palatine civil attorney Palatine probate lawyer Illinois insurance dispute lawyers Inverness corporate attorney material misrepresentation Crystal Lake medical malpractice attorneys Schaumburg estate attorney Schaumburg personal injury lawyers digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers Schaumburg personal injury lawyer license suspension Palatine personal injury lawyer Buffalo Grove personal injury attorney Food and Drug Administration's Food Safety Modernization Act Illinois personal injury lawyer Deer Park medical malpractice attorney work unions Buffalo Grove insurance claim dispute lawyers Deer Park personal injury lawyer real estate zoning employees Rolling Meadows traffic attorney insurance negligence Inverness real estate lawyer living trust trustee crossover accidents auto accidents Crystal Lake pedestrian accident lawyer loss of consortium overtime pay Des Plaines claims law firm llinois Real Estate Lawyers Association sole proprietorship bicycle accidents wills Barrington business law firm Barrington litigation attorney denied insurance claim Crystal Lake civil litigation lawyer Rolling Meadows insurance dispute lawyers, insurance dispute Rolling Meadows personal injury attorney Barrington Traffic Lawyer medical malpractice Illinois collections attorney Arlington Heights TBI attorney traffic deaths Illinois employment lawyer employment law, Illinois employment laws car crash injuries denial of insurance claim drunk driving LLCs federal crimes pedestrian-automobile accident Rolling Meadows Traffic Lawyer car accident minimum wage Arlington Heights traffic attorney Des Plaines real estate attorney liability personal injury claims no contest clauses Illinois insurance claim dispute lawyer commercial leases head on collisions insurance dispute Palatine corporate attorney liens Illinois traffic attorneys Schaumburg Attorney nursing home negligence Arlington Heights pedestrian accidents Mt Prospect Attorney rent to own real estate contracts workers compensation coronavirus taxes Palatine business attorney Landlord Tenant Ordinance slip and fall accidents Des Plaines collections attorney Crystal Lake estate planning lawyer dynasty trusts Rolling Meadows personal injury lawyers insurance attorney Deer Park real estate law firm Illinois DUI attorney job lawyers independent contractor Buffalo Grove traffic attorney tax attorney Long Grove estate planning estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, probate fees Illinois Transfer on Death Instrument Schaumburg probate attorney top life insurance claim denials workers comp DUI defense Illinois tax attorney privacy laws Arlington Heights trucking lawyer financial advisors suspended license Barrington personal injury lawyer rollover car crashes Palatine corporate law attorneys vacation home Illinois traffic ticket lawyer Buffalo Grove real estate attorney pedestrian accidents insurance claims Illinois workers compensation attorney real estate contract Chicago will attorney, social media platforms, Illinois estate planning lawyer, Rolling Meadows tax attorney gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys Schaumburg employment law attorneys Schaumburg criminal attorney problem employees employment contract surgical mistakes employee discrimination cell phone insurance claim dispute attorney Arlington Heights wills and trusts attorneys Illinois elder law attorney Rolling Meadows life insurance claim denial attorney consent to a search Rolling Meadows corporate lawyer dram shop law condo association Affordable Care Act pedestrian accident drug crimes lawyer Long Grove estate planning attorneys drunk driving statistics Jay Andrew Illinois home inspection bike accident Illinois injury lawyer golf accidents life insurance claims blood alcohol content Palatine injury attorney car collision commercial leasing Mount Prospect real estate lawyer estate planning Palatine employment lawyer Kenilworth estate planning attorney sexual images criminal DNR texting while driving criminal record Rolling Meadows personal injury lawyer construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation Crystal Lake traffic lawyer Liquor Control Act Schaumburg civil litigation attorney Schaumburg drug defense lawyer denial of life insurance Chicago trucking accident attorney Forcible Entry dealing with problem employees landlord tenant law traffic tickets agent Buffalo Grove probate lawyer subcontractor mass shooting workplace sexual harassment guardianship attorney motorcycle accident lawyer Rolling Meadows estate planning attorney medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers Crystal Lake accident attorney life insurance claim denial, denial of life insurance claim health insurance dispute Arlington Heights tax lawyer Barrington employment law firm Illinois medical malpractice case Rolling Meadows business lawyer right to work filing a medical malpractice claim BAIID unfunded trust institutional trustee Chicago attorney Rolling Meadows drug defense attorney Palatine elder law attorney personal injury lawyer Rolling Meadows medical malpractice lawyers Barrington workers compensation attorney Illinois bicycle safety car accident lawyer Illinois estate planning attorney Kenilworth estate planning attorneys wrongful death Illinois probate lawyer Chicago biking tips irrevocable trust Inverness civil lawyer automated cars Transfer on Death Instrument traumatic brain injuries DMV Crystal Lake traffic attorney beneficiary complications Des Plaines drug lawyer workers compensation benefits Arlington Heights injury attorney probate lawyer Illinois employment attorneys pet law Arlington Heights medical malpractice lawyer insurance denial appeals drug possession insurance claim denial Chicago employment attorney Inverness estate planning lawyer insurance dispute attorney Arlington Heights estate planning attorney digital assets elder abuse Inverness elder law lawyer School Visitation Rights Act Des Plaines tax law firm fiduciary rule Illinois Trust Code rest breaks distracted driving accidents Rolling Meadows criminal attorney Buffalo Grove personal injury lawyer boating under the influence Barrington estate planning attorney estate attorney traffic violations defense Chicago car accident lawyer digital evidence underage DUI Des Plaines personal injury attorney Long Grove wills and trusts attorneys Barrington Illinois estate planning lawyer boating DUI digital information Arlington Heights accident attorney appealing an insurance claim employee misclassification severance agreements trucking accidents license insurance claim delay estate planning for college students fiduciary rule delay federal regulations for LLCs jet ski Schaumburg estate planning attorney Arlington Heights wills and trusts lawyer Fair Labor Standards Act Illinois insurance disputes foreclosure denied insurance claims Des Plaines pet law attorney reckless homicide estate plan Palatine employment attorney brain injury pregnant women Arlington Heights personal injury attorney mortgage Illinois insurance claim dispute lawyers insurance agents business litigation Rolling Meadows probate lawyer Palatine law firm Chicago employment lawyer real estate lawyer Chicago traffic lawyer employment lawyer Schaumburg corporate attorney Rolling Meadows boating crash lawyer Crystal Lake medical malpractice law firm employment attorney insurance claim dispute drugs Illinois estate planning Mount Prospect elder law attorney Palatine criminal defense lawyer caretaker rights medical malpractice compensation Attorney Ken Apicella preventable medical errors personal injury accidents Deer Park employment law attorney Rolling Meadows real estate attorney Deer Park criminal attorney Arlington Heights car accident lawyer Schaumburg personal injury attorney Illinois employment law insurance agent negligence Barrington life insurance lawyer Arlington Heights wills and trusts lawyers compensatory time pet bites murder defense Buffalo Grove corporate attorney Legal Info low-ball insurance settlement unpaid assessment Illinois red light cameras Des Plaines accident attorney Des Plaines personal injury lawyers Barrington medical malpractice lawyers whistleblower protections Arlington Heights Attorney modern family estate planning Employment Discrimination Law Illinois personal injury lawyers Illinois employment law firm life insurance lawyer Long Grove real estate lawyer Crystal Lake employment lawyer Schaumburg employment attorney residential real estate Chicago insurance claim attorneys real estate attorney Des Plaines food poisoning Buffalo Grove employment lawyer jet ski accidents Rolling Meadows employment law attorneys elder law Schaumburg life insurance attorney Illinois employee rights attorney. vacation home fines Palatine life insurance lawyer Illinois registered agent Illinois Workers’ Compensation Commission Illinois business law atorneys blended families trench injuries insufficient documentation Illinois insurance lawyer Crystal Lake employment attorney civil litigation attorney Long Grove real estate attorney healthcare claims first degree murder Palatine drug lawyer installment contracts anesthesia errors drug crime Joliet general practice lawyers PTSD estate planning lawyer Des Plaines drug crimes lawyer employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys liability claims Rolling Meadows insurance lawyer Illinois Human Rights Act Class A misdemeanor living trust benefits Chicago estate planning Rolling Meadows criminal lawyer Schaumburg estate planning lawyer personal injury attorney Illinois medical malpractice lawyers Palatine traffic lawyer Arlington Heights wills and trusts attorney Buffalo Grove car accident lawyer Rolling Meadows insurance attorney Do Not Resuscitate Inverness DUI lawyer Illinois trucking safety small business Illinois workplace lawyer Arlington Heights real estate lawyer Illinois trusts attorney product liability Chicago will attorney defective products lawyer Illinois car accident attorney icy parking lots Inverness personal injury attorney Barrington criminal lawyer Barrington real estate lawyer creditors distracted driving accident victims criminal law commercial real estate Arlington Heights criminal lawyer living trust vs will Illinois criminal defense attorney Barrington injury attorney Crystal Lake bike accident lawyer Illinois wills and trusts Arlington Heights employment law attorneys Colin H. Gilbert natural gas Chicago corporate attorney Illinois mortgages probate process Buffalo Grove injury lawyer probate Deer Park DUI lawyer personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys deed transfer Des Plaines medical malpractice attorney Palatine real estate lawyer Crystal Lake will lawyer Inverness injury lawyer Illinois Probate Act of 1975 rumble strips Illinois LLC creation Illinois workplace discrimination attorney healthcare Des Plaines criminal attorney new real estate form Palatine construction attorney Barrington drug crime attorney Schaumburg traffic lawyer Crystal Lake law firm Illinois small business contracts Illinois insurance attorney swimming pools Palatine punch death Riverwoods estate planning lawyer medical malpractice claims Schaumburg insurance lawyers gift taxes Kenilworth estate planning lawyer Crystal Lake pet attorney BUI Illinois real estate lawyer car accidents criminal defense DUI penalities power of attorney for healthcare FMLA digital media accounts, estate planning, Arlington Heights estate planning attorney, Inverness probate lawyer insurance disputes privacy Illinois speeding lawyer employee rights Rolling Meadows litigation lawyer marijuana condo texting and driving Crystal Lake insurance lawyer Rolling Meadows accident lawyer DUI Crystal Lake car accident attorney sexual harassment comp time probate claims process in terrorem provision cell phone tower data pedestrian injuries, pedestrian fatality trusts Chicago life insurance attorney unpaid overtime underinsured motorist Inverness accident lawyer