Severance - Wages vs. Assets
My current position was eliminated and I was given 60 days notice with an additional 8 weeks severance payable at the same schedule as my previous wages. Immediately following my layoff, I was served by a collections attorney to settle an outstanding medical bill. He claims that my �Severance� pay is an asset opposed to wages and thus entirely subject to confiscation by the court. Currently the severance pay is my only source of income while I search for a new job, is this legal?
1 answer | asked Nov 20, 2001 8:28 PM [EST] | applies to Indiana
Answers (1)
severance pay
This isn't really an employment but collection problem,which I have no experience in to give you an answer. However, I can tell you that severance pay is the same as wages. The unemployment office considers it wages; IRS considers it wages, etc. So if his claim relies on the fact it is not "wages", he has no claim.
posted by Brenda Franklin Rodeheffer | Nov 25, 2001 10:11 AM [EST]
This isn't really an employment but collection problem,which I have no experience in to give you an answer. However, I can tell you that severance pay is the same as wages. The unemployment office considers it wages; IRS considers it wages, etc. So if his claim relies on the fact it is not "wages", he has no claim.
posted by Brenda Franklin Rodeheffer | Nov 25, 2001 10:11 AM [EST]
Answer This Question
Sign In to Answer this Question
Related Questions with Answers