In Massachusetts, can severance payments be terminated?

Additional Information:

Can my former employer terminate severance payments (salary continuation) if I gain employment prior to the severance term expiring?

ATTORNEY ANSWER:

There is no obligation in Massachusetts for employers to pay severance in most instances. The employer may unilaterally set the terms upon which it will pay severance, or the employer and employee may agree to the terms of the severance as part of a separation agreement. Unless the termination of the severance payments is in breach of the terms agreed upon by the parties, the employer may cease such payments upon the employee’s gaining subsequent employment.

The Worcester law firm of Reardon, Joyce & Akerson, PC represents clients throughout Worcester County and Central Mass including the communities of Shrewsbury, Marlborough, Northborough, Westborough, Leominster, Fitchburg, Clinton, Auburn, Oxford, Spencer, Boylston, Holden, Paxton, Ware, Worcester, Millbury, Grafton, Rutland, Sutton, Webster, Sterling, Lancaster, West Boylston, Leicester, Hudson, Charlton, Southbridge, Bolton, Barre, Hubbardston, Sturbridge, Brimfield, Princeton, Gardner, Milford, Uxbridge, Upton, Lunenberg, Ashburnham, Northbridge, Ashby, Harvard, Westminster, Winchendon, Dudley, and Brookfield.