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/ËsÉvÉrÉns/. noun. Learner's definition of SEVERANCE. [singular] formal. 1. : the act of ending someone's employment. â usually used before another noun. a severance of employment. [+] more examples [-] hide examples [+] Example sentences [-] Hide examples. severance pay [=money given to someone who has been fired or laid off from a job]. She received a good severance package [=money and other benefits given when employment is ended] when she was laid off.
The starting point for both questions is the Michigan Wage & Fringe Benefits Act, MCL 408.475(1). As to severance pay, an employer must pay to an employee voluntarily leaving employment or discharged from employment all wages earned and due, as soon as the amount can (with due diligence) be determined. MCL Â§ 408.475(1) and (2).