Job Buyout Packages

Like the others have said it depends on the package. If its a voluntary-buyout, they may fluff it a bit to get takers. If you don't take it, what does that mean for your current work? Will you take a paycut? Will you keep your pay, but get more work?

In 2009 both my husband and I were laid off at the same time at the start of the summer. I was extremely tempted to sell the house, pack up and move to the beach! Why not? There wasn't a job keeping us here. We decided to stay because of local family that would miss us. Husband found a job after 4m at lower pay, but better commute. For me, I was promised a 1 year package, 6m health so I wasn't stressing too much.Within 2 weeks 1 guy from my group found a job. After 10m someone hired me back at my old company. Another guy in my group tried for over a year before getting hired, and another lady still hasn't found a job 18m later.

Another group at my company was doing RIFs. There was one guy getting laid off that was offered a package. There was a second lady that was about a year from retirement. She was NOT part of the layoff, but would pick up the work of the guy that was being laid off. She didn't really want that work since she already considered herself overworked. She gave it some thought and decided SHE wanted to take the buyout. She went to management, said let me retire instead of firing the guy. They said OK and the guy kept his job. She is now happy as a lark! She is getting retirement pay, plus has a new part-time job doing something that interests her.

So again, it just depends on what is being offered, and what your life situation is.

Good luck,
M.

Depends on how long you think it would take to get a job - in corporate america, packages can be quite good, like 2-4 weeks severence for every year employed. But I don't know how good a university package might be? If you think you could manage for 3 months but not a day longer, make sure you get that much and a little extra. Also, keep in mind these are negotiable. Also, ask them if they will carry your insurance for the same period of time as that is really expensive.

When we had them you got 1/2 weeks pay for every year of service plus 20% I think...
Depends on YOUR individual situation I guess.

depends...my hubbys company did that. they offered to buy out people to early retirement. they fluffed their 401k contribution by 10 months, paid them a salary for 6 months and the pension spiked too...I think that was it...really nice. Worked out great for the people who wanted to retire in the next 5 years...but if you like your job and dont plan on retiring soon...stay!
The unemployment rate is high..sounds like you have a great company...stay as long as you can..if you want

I work for a company that does this a lot. You have to ask yourself, if you don't take the buyout, will it be there the next time they make cuts. Also, if you take a buyout, will you have to sign a compete agreement, meaning you won't work for a company that competes with the one you work for now. Lots of things to ponder..... good luck to you.

I would say you have to consider what kind of package they are offering. Then you have to figure out if you will start looking for another job. I saw a piece on ABC news last night that stated that almost 90% of the jobs in the recession have gone to men- doesn't exactly make a woman feel great about her changes. My mom lost her job in a merger at the end of December and just now found another position, at lower pay. The guy she worked under found a job in less than a month. I think what matters most is what you/ your family can gain and/or lose in the situation. You also have to consider that if not enough people take the buyout, then the company will likely start letting people go and the offers won't probably be as generous. Good luck!