Should I Sign a Severance Agreement in Washington?

Losing your job is always stressful, no matter what the circumstances are. But sometimes, your employer might offer you a severance agreement to sign. The goals of it are always different, but you’re probably focused on one question: should I sign it?

At Ferraro Vega Employment Lawyers, our Washington employment lawyers can answer this and any other question you might have. Set up a free consultation today.

Should I Sign a Severance Agreement?

Generally speaking, a severance agreement is pretty basic. If you’re given one, your employer is trying to:

• Remove themselves from legal responsibility for things that may have already happened.

The exchange is that they’ll offer you pay, a continuation of benefits, stock options, and other things that make it attractive. But the issue isn’t so much why they’re offering it to you, but when. You’ve just lost your job, you’re thinking about bills, and the offer of extra pay can feel like something you have to take.

Unfortunately, that decision comes with strings. Once you sign, you’re often giving up certain rights—sometimes without realizing it. That can include the right to take action related to your job or your firing. In many cases, the agreement is written to protect the company first, not you.

So, should you sign it? It depends on what’s in the actual agreement.

What Can a Severance Agreement Include—and Not Include—in Washington?

Severance agreements in Washington can cover a lot of ground, and some of the terms are easy to overlook if you’re focused only on the payout. But they can include a variety of different things that make it attractive, like:

• Severance pay (usually based on weeks or months of salary)
• Continued health insurance coverage or COBRA assistance
• A release of legal claims against your company
• Confidentiality or “non-disparagement” clauses
• Deadlines for signing

What many people don’t realize is that there are also limits. Generally, agreements can’t include things that:

• Take away your right to file a workers’ compensation or other employment claim
• Stop you from reporting discrimination or harassment to agencies like the EEOC or Washington State Human Rights Commission
• Prevent you from participating in an investigation or speaking truthfully if legally required
• Waive certain rights unless specific legal requirements are met (especially for workers over 40)

If you balk at signing the severance agreement, it’s with good reason. But what you might not realize is that it doesn’t matter what language is in the agreement itself, your employer can’t contractually take your rights away just because something is written on a piece of paper and you sign it—even if it’s to make your landing easier.

Why Would I Not Want to Sign a Severance Agreement?

Again, you’re getting a severance agreement at an extremely stressful time. When you’re presented with it, you’ve just lost your job. The hardships that come with that are very real, and that gives you a clue into the biggest reason an employer would offer it to you in the first place—to pressure you. Specifically though, there’s a number of other reasons why you might not want to sign yours:

• The severance pay is small compared to what you’re giving up
• The agreement limits your future job options
• The language is vague or overly broad
• You feel rushed or discouraged from asking questions

Signing a severance agreement isn’t just about getting through the next few months—it’s almost covertly designed to take away your options down the road. But again, the reality is that you have certain legal protections when it comes to your job in Washington whether you sign a severance agreement or not.

How Can Ferraro Vega Employment Lawyers Help Me With a Severance Agreement in Washington?

Even with the dangling carrot of a severance agreement on the table, you’re still going through an incredibly stressful time. You’re suddenly dealing with uncertainty about income, health insurance, and what comes next, all while being asked to sign a legal document that can affect your rights under Washington law.

At Ferraro Vega Employment Lawyers, we can help you by:

• Walking you through the agreement
• Explaining the fine print
• Flagging potential issues

Our number one goal is to take some of the pressure off and help you make a decision you won’t regret later. If you’re wondering about a severance agreement and whether you should sign it, reach out today for a free consultation.