"Done correctly, severance plans reduce employer exposure to employment law issues and help employees with a soft landing. Done incorrectly, what was intended to be a tool to ease tensions can result in heightened anxiety, mistrust, and litigation.... [1] ERISA plan vs. non-ERISA payroll practice ... [2] Who is covered ... [3] What situations are covered ... [4] Retain flexibility ... [5] Follow plan terms ... [6] Communicate with participants."  MORE >>