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Fair Measures, Inc. - Legal Training for Managers

Question & Answer

What's the difference between termination and firing? 02-11-2009

I am unclear if I was laid off or fired. I was told I was let go because upper management chose to part ways. I was given a "Termination Agreement" which once I signed, I would be given a severance check. I want that clarified before I sign anything. What is the difference between being fired and terminated?

Ann Kiernan replies:

Practically, there is no difference. Either way, you are involuntarily out of a job. Often, people use "firing" to indicate a termination for cause. Since you are being offered a severance package, it sounds like management is simply exercising its prerogative as an at-will employer, and not discharging you for misconduct.

If your employer has 20 or more employees and you are 40 or older, federal law has certain legal requirements for an agreement in which you give up your right to sue the company in exchange for severance pay. You should consult a local employment attorney to make sure the agreement you have been given meets all legal requirements.

Good luck!

Information here is correct at the time it is posted. Case decisions cited here may be reversed. Please do not rely on this information without consulting an attorney first.

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