Company Pays Employees $25,000 to Quit

CommanderFrank

CommanderFrank

Cat Can't Scratch It
Joined
May 9, 2000
Messages
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Ever taken a job but weeks or months later wish you hadn’t? Well, how would you like for your bosses to let you walk away from your position and put up to $25K in your pocket for your trouble? Riot Games will make your quitting a pleasurable experience. :cool:

Now, we don’t want to actively push people out or dare them to leave, but we do want to provide a well-lit, safe exit path.
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So can they also get unemployment from this, or no (guessing not since you are "quitting)? I guess 25k is better than unemployment at this point, though.
 
10% to quit... but apparently 25k gets more views...

They said most programmers now make 6 figures but that is far from 250k to get the full amount.

Its not a horrible practice and gives the employees options which is better then most companies give. Heck working in the contract field in my early days I found it hilarious that companies were offended when I gave little notice about termination of my contract... considering they "accidentally" terminated my contract 3-4 weeks before with no notice.
 
MavericK96 said:
So can they also get unemployment from this, or no (guessing not since you are "quitting)? I guess 25k is better than unemployment at this point, though.
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You can only get unemployment from quitting if you did so with "good cause" , so like some level of work place harassment would count as "good cause", you'll have a hard time though convincing the unemployment office that "your employer no longer wanted me to work there, so bad in fact he was willing to give me $25000 to leave"

That said, maximum amounts you can collect (depend on state) in California are like $450/week, which if you add that up over a year is less than the $25k you'd get so if you're thinking of not taking the money so you can collect unemployment you'd be an idiot who can't do math :) (plus there is a maximum amount you can get too, which in no way will be a years worth of checks)
 
I accepted a voluntary layoff (I volunteered to leave) from my first employer after 14 years there (and they paid me 11 months salary to leave) ... it isn't that uncommon but it does vary substantially from company to company ... personally I respect a company that gives its employees a chance to part ways amicably ... not every workforce reduction or employee departure needs to be a battle
 
I understand Amazon does this as well. It is a practice they obtained from Zappos. The theory is that employees who want to leave are not actively engaged in the company mission. They might continue to show up for work, but the quantity and quality of the work output are greatly reduced. If instead you pay people to leave, it motivates the employees who are not committed to the company to leave.

I wonder if it helps to be on a team knowing that everyone wants to be there, not just has to be there to get the paycheck.
 
Az Syndicate said:
I understand Amazon does this as well. It is a practice they obtained from Zappos. The theory is that employees who want to leave are not actively engaged in the company mission. They might continue to show up for work, but the quantity and quality of the work output are greatly reduced. If instead you pay people to leave, it motivates the employees who are not committed to the company to leave.

I wonder if it helps to be on a team knowing that everyone wants to be there, not just has to be there to get the paycheck.
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From my experience people who are there for a paycheck are just that, and in many cases they don't care what job is providing it. Attitudes like that are either a personality trait or they have been beaten down by the job for a long time already.

The real sad thing about his type of deal is the person that takes it probably is an employee that you would want to being with. 10% is less then a month for severance to quit... and was limited to your first 60 days(I thought it said that)... 60 days isn't much to get used to any job, it would have to be a horrible fit.

But an option is better than no option.
 
I see no problem with this. Most CEOs get paid millions to get fired, why shouldn't everyone else?
 
Fooshnik said:
I see no problem with this. Most CEOs get paid millions to get fired, why shouldn't everyone else?
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LOL the recent Target CEO that got fired due to the horrible data breach was basically given 64 MILLION to be fired(not all in cash but with his stocks and other perks). Then on top of that they "contracted him as a freelance employee at his old salary to help train his replacement". So he got fired but didn't get fired really.
 
10% of my salary and I'm not eligible for unemployment? Ehhh I dunno...
 
MavericK96 said:
So can they also get unemployment from this, or no (guessing not since you are "quitting)? I guess 25k is better than unemployment at this point, though.
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I doubt it. I'm sure the termination agreement has a "Will not file for unemployment" for xxxx months clause which, I believe, is horribly legal.
 
TechLarry said:
I doubt it. I'm sure the termination agreement has a "Will not file for unemployment" for xxxx months clause which, I believe, is horribly legal.
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Unemployment is only for those who get terminated from work through no fault of their own. So yeah accepting $25k to no longer work, is kind of you leaving the job voluntarily. Unemployment insurance is not meant to pay everyone who's not working.
 
kodan said:
LOL the recent Target CEO that got fired due to the horrible data breach was basically given 64 MILLION to be fired(not all in cash but with his stocks and other perks). Then on top of that they "contracted him as a freelance employee at his old salary to help train his replacement". So he got fired but didn't get fired really.
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Most likely some sort of pre-agreed upon severance package. Like something teams agree to for a sports player to come to their team and then the player ruins his knee and is useless but walks away with millions.

If you can get someone to agree to a lush severance arrangement go ahead.

Most likely in the OP article, the severance is likely to get you to sign away directly or indirectly your ability to pursue a wrongful dismissal lawsuit.
 
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