Downsizing: How managers avoid the most expensive mistakes when it comes to severance pay
Waiver, bonus, company car: every detail counts in negotiations – managers can easily give away a five- or six-figure sum. A checklist and sample calculations show what matters.
Many German companies are currently cutting jobs, with the industry sector alone eliminating over 120,000 positions last year. To encourage employees to leave, companies are offering large severance packages, such as BMW, which is looking to let go of 8,000 employees and is offering a "turbo bonus" and payments of up to €650,000.
However, employment law expert Christoph Abeln warns that signing an termination agreement too quickly can have costly consequences. Employees should carefully consider their options and negotiate details such as severance pay, benefits, and stock options to ensure they receive the best possible deal.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
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