Business Pitch Dictionary by pitch.dog
Performance, pay & rewards · Core

Severance

Also called: termination payment

ELI5

Pay or benefits provided on employment termination under law, contract or policy.

Used in conversation

“Do not describe severance as agreed until the operative document says so.”

Pitch context

You will see “Severance” in organisation plans, workforce reviews, change programmes and people reports when the discussion reaches performance, pay & rewards.

Why it matters: In performance, pay & rewards, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 2

Direct term-level sources and supporting source families.