Severance Pay

So let’s say you worked at Countrywide (or <insert any mortgage/lending-related company) and recently got laid off.  You may not be aware of this, but there is no federal law that requires an employer to pay severance pay.  For companies in severely dire straits (i.e. in bankruptcy), your severance package is probably not high on the list of creditors owed money.  This “benefit” of severance pay is more of a custom in the United States.  If you are lucky enough to get a severance package, take what you can get because it’s usually not very negotiable as it’s usually based on tenure at the company.  However, your employer may be legally required to give you severance pay if you were promised one in a written employment contract or employee handover, or if your company has a history of giving packages to employees in your position.