Offboarding Compensation

Dismissing an employee is an important part of a company's life. This process can be influenced by emotional factors and therefore it is necessary to be prepared in advance. It becomes critical to know the best market practices and how they complement current legislation. Likewise, it is necessary to have a clear policy that considers the company's culture and the background of the person to be dismissed, and that may give rise to negotiation, but under parameters and ranges defined beforehand.

Not all scenarios require the same solution. It is advisable to differentiate between different types of unwithdrawal without cause: performance, mutual agreement, restructuring, mergers or acquisitions, or disloyalty.

The objective sought will be to generate the least possible impact on the rest of the employees, controlling costs and not incurring unnecessary legal risks. In this aspect, CompStrategy can help with:

• Definition and drafting of the Company's Leave Policy, including particular clauses such as confidentiality, non-competition, extension of medical coverage, company car treatment, pension plan or long-term incentives.
• Identification of populations according to age, retirement/pension plan status and other parameters
• Market information on best practices applied by competitors: Compensation amounts. Additional benefits such as medical plan maintenance, outplacement service, life insurance maintenance, income tax interpretation, and others.