Commission Limits Negotiability of Severance Pay

By Ira W. Mintz, Esq.

County of Camden and Camden County Park Police, New Jersey Fraternal Order of Police, Lodge #76

In P.E.R.C. No. 2013-21, the Commission held that a provision entitled “Severance Pay based on Service Longevity” was mandatorily negotiable and could remain in a successor collective negotiations agreement only to the extent it applies to situations where unit employees are permanently separated from their job.  The Commission noted there are economic benefits that can be negotiated for employees when they are transferred or reassigned even though they still perform the same duties for the same employer.  However, the Commission found that this provision for up to three years compensation imposes a financial obligation on the employer that would inhibit the County from exercising its managerial  rerogative to determine staffing levels and the manner and means by which it will provide law enforcement services.

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