The AOL severance agreements by employee category are after the jump. The minimum severance every employee will receive is four months — two months’ severance and two months’ pay before the separation date (per WARN act).
Severance Information: Q4 2007Below is information on the severance package payments and benefits by job level that will be offered to AOL employees who are affected by the reduction in force in the fourth quarter of fiscal year 2007.
Employees will receive their base salary through their separation date together with a payment of 2007 accrued but unused vacation time.
In addition, AOL will provide a severance package to impacted individuals based upon job level as follows:
Level Severance Outplacement
Assistance COBRA (Medical/
Dental/Vision)Level J – G 2 months
annual base pay 2 months 2 monthsLevel F 4 months
annual base pay 4 months 4 monthsLevel E 6 months
annual base pay 6 months 6 monthsLevel D 9 months
annual base pay 9 months 9 monthsLevel C – B 12 months
annual base pay 12 months 12 months
The severance benefits posted here apply only to the 2007 Q4 reduction in force for full and part time AOL LLC employees in the U.S., and, do not apply to any other similar actions past or future. To the extent that there are any discrepancies between this information and terms in the separation package, please refer to your separation package.
In addition, provided the Company meets its objectives and pays a bonus to eligible employees under the Fiscal Year 2007 Annual Incentive Plan (” AIP “), impacted employees will receive their AIP bonus payment payable at the same rate as continuing employees up to a maximum 100% of the target percentage.
Employees must sign a Separation Agreement and Release of Claims provided by the Company in order to be eligible to receive any of the payments and benefits outlined above.
Q. If I don’t know my level, how can I find out what it is?
A. Your level is listed on the organisation chart in the Enterprise Phone Book. If you have a question about this, or think this information may be out of date, check with your manager.
Q. What happens to my benefits if I’m affected?
A. That information will be part of the individual severance package documentation including information regarding continuation of health coverage and the impact on other benefits programs such as life insurance, 401(k) and stock options.