Where do you live that companies will give 14 weeks' severance pay to people who've only been there a year?

When Texas Instruments closed their offices in Nice (somewhere around 2016?), the package was one month per year worked. Most people had worked there for between 10 and 20 years. From what I heard, Hewlett Packard was even more generous when they shut down

In defence of the parent, I read days instead of weeks initialy.

"In many countries, the severance pay is a lump sum that increases with the employee’s tenure in the company and their wage level. In the Czech Republic, Denmark, Hungary, Italy, Lithuania, Poland, Portugal, Slovakia and Spain, employees with service of up to one year are entitled to severance pay (in most cases one month’s pay), while in Luxembourg employees have to have a minimum of five years within the organisation before receiving severance pay.

In France and Slovenia, employees with up to five years’ tenure are entitled to severance pay amounting to a maximum of one month’s pay; in Spain, the entitlement is 100 days’ pay for the same tenure."

AirBnB is giving laid off workers around 3 months of severance pay. How is that less competitive than what's given in Europe?

Less competitive no, rather similar to what most white collar companies give. Some go way beyond, ie my own when fired due to similar reasons (and not say criminal behavior) will add 1 salary per year worked. It can lead to some serious package for long timers. This ain't for some C-level managers only, but regular desk IT folks for example.

Now if they would be firing say 30-50% the rules might be different, this ain't part of any written contract, but they did so for all folks fired for last 10 years. But that's probably the best package I've ever heard of, regardless of location.

Yeah by most American standards, and also by most standards.

Well, average developer salary in Europe is around $70k vs $163K average at Airbnb.

What’s an example of a country where this isn’t generous?

In France "cadres" (managers, most devs etc) will still be payed for three months (while you can work another job at the same time and get double income then), plus of course all accrued vacation days, and some amount based on your seniority at the company and its activity sector.

After the three months most people will qualified for regular unemployment.

And until you start working at another company you still get healthcare from your former employer's provider.

edit: as it's weeks and not days for Airbnb I guess it's pretty similar then.

> edit: as it's weeks and not days for Airbnb I guess it's pretty similar then.

You mean France's is significantly worse (12 < 15 at a minimum of 1yr or less)? Did you see the accelerated vesting as well?

Germany, health care isn't even a question, three months notice is the norm. Plus some additional severance payments. Don't take the number for granted, but I think IIRC it is something like one month per year. Not sure anymore, so.

EDIT: Read days instead of weeks regarding AirBnB severance pay. That changes a lot, and it makes it a more than generous package by anyone's standards.

> Germany, health care isn't even a question

How does this mean? As in, it's provided by the state and therefore not a part of a severance package or as in German employers don't provide any? I'm not sure how to take this. If it's that the state provides it, then arguably AirBnb is being even more generous or possibly it shouldn't be included in the comparison. It's about what AirBnb is providing when discussing their generosity or lack thereof.

> IIRC it is something like one month per year.

So possibly way more generous or possibly way less generous depending. Under AirBnb's scheme, it's more generous so long as you've been employed less than 5yrs.

Not sure I'm seeing how German standards are so much more generous. Possibly that's fair under the healthcare standpoint but even then AirBnb is providing for a whole year so not really clear at all that that wouldn't cover an individual until their next role.

Health care is public, so worst case it is covered by the state. Also, just realized that AirBnB offer 14 weeks of pay. Initially read it as days... My fault. Being weeks, it really is a great package, health care or not. And even more so for the US with health care. All I can say is Kudos AirBnB.

~~Yes, because it's pretty shitty for Europe.~~

I didn't understand well, sorry.

"In many countries, the severance pay is a lump sum that increases with the employee’s tenure in the company and their wage level.

In the Czech Republic, Denmark, Hungary, Italy, Lithuania, Poland, Portugal, Slovakia and Spain, employees with service of up to one year are entitled to severance pay (in most cases one month’s pay), while in Luxembourg employees have to have a minimum of five years within the organisation before receiving severance pay.

In France and Slovenia, employees with up to five years’ tenure are entitled to severance pay amounting to a maximum of one month’s pay; in Spain, the entitlement is 100 days’ pay for the same tenure."

AirBnB is giving laid off workers around 3 months of severance pay. How is that less competitive than what's given in Europe?

It's not, people just love shitting on America. 14 weeks + 1 additional for each year served at US salaries + unemployment + paid health insurance for 12 months is extremely generous compared to the peanuts that Europe pays engineers.

Unless you realize that you're comparing severance package of one of top US companies to EU standard.

the original comment was specifically saying AirBnBs severance isn’t impressive compared to europe, which is not true.

AirBnBs severance package is impressive compared to rest of US.

Twisting words a bit: most of Europe doesn't get much worse severance than top US corporation. That's impressive.

IT in Europe also gets better severance etc.

Also, not checked in other countries, but in Poland for example: regular salaried employees get 3 month notice if tenure is 3+ years.

But this is already more than 3 months even with 1 month of tenure?

What you describe here as generous is pretty standard in my part of Europe, things like health insurance or unemployment benefits aren't even a concern to worry about. In fact, when fired, my company normally gives 3 months PLUS 1 month per year worked. Now that's what I call generous.

What part is that? And what's the average salary there? It's easy to give 6 months of severance when you're severely underpaying compared to global labor markets.

yup, it's better then what you would get in most of the europe.

does US have an unemployment plan. how long and how much do you get ?

> does US have an unemployment plan. how long and how much do you get ?

Each state has unemployment insurance. In most cases, the benefit amount per week/month puts you around the federal poverty line for an individual. No state has a severance requirement (although some do require your PTO balance be paid out as wages).

https://fileunemployment.org/unemployment-benefits/unemploym...

Yes. It depends on your salary, but given the current covid crisis, most airbnb technical employees are eligible for around $4200 per month for 26 weeks.

Yeah so severance is what you get from the company directly.

That counts as your usual pay. So during that time you don't get 'unemployment'. After the severance runs out then you collect unemployment, how much that is varies state to state.

then it's a little different in europe (afaik), you get your severance, it's one time payment but it's usually not that big. and you can right away get your unemployment payment. the length and the amount depends on how much have you worked and the pay you had. the one does not depend on the other.

My brother (in Australia, where I grew up, before moving to the US) recently got laid off from his firm (actually, I believe they were going out of business due to retirement or such). Their policy was 1 month severance per year. He'd been there 14 years, 14 months severance.

Do the employees have to work during these 3 months? It is not clear from the article. If not, it is quite "competitive".

It's not severance if you're working. Severance comes after you're not working.

Their last day is May 11th, so no they're not working. Otherwise it wouldn't be considered severance pay, that's basically just giving 3 months notice.

Oh right, it's before the state unemployment. Then I don't know.

What's the average for Europe?

afaik in some countries its not required (switzerland?) and in others it depends on the number of years the person worked in company. i think it depends on the country.

No severance pay required in Switzerland but there will be a mandatory one month to three months notice period. A company can decide to send their workers home earlier but they would still be required to pay salary for that period. Though when laying of 25% there will be some additional government requirements as it would be classified as a mass-layoff and will need a social plan.