3. What kind of an executive is usually offered a severance agreement?
An executive who is getting some kind of "extra" benefit or payment from the employer.
Most employers aren't stupid. They don't want to provide severance benefits only to have the executive turn around and sue. So, if an executive is given more than he/she has a legal right to, the prudent employer seeks a waiver of claims in exchange.
Among the kinds of executives who receive severance agreements are these: (1) the executive who has served the employer well, but who is being exited with a separation package due to some form of reorganization; and (2) the executive who scares the employer, because he/she may have legitimate workplace claims and the employer has concluded that "buying-off" the executive is the smart thing to do.
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